November 4, 2016

A retired operations management professor moves to New Orleans, joins the Krewe of

Orpheus and convinces krewe leadership to buy their own swizzle stick production

equipment. They invest in a medium-scale machine called the Swizzo 2025, which is

capable of producing swizzle sticks at the rate of 1800 per day. What is the maximum

inventory level if they produce at an optimal batch size?

A) 13,268

B) 13,468

C) 13,868

D) 14,268

The supply and demand values along the outside rim of a tableau are called:

A) rim requirements.

B) rim columns.

C) rim rows.

D) all of the above

Solving nonlinear optimization problems using Lagrange multipliers requires:

A) calculus.

B) algebra.

C) computers.

D) A and B

E) A and C

________ is not part of a Monte Carlo simulation.

A) Analyzing results

B) Analyzing a real problem

C) Finding an optimal solution

D) Evaluating the results

A ________ probability is the probability of a single event occurring.

A) subjective

B) binomial

C) marginal

D) joint

After plowing through contracts for a decade, the contract writer knew about how long

it took to crank out the material necessary to satisfy a contract's requirements. The

distribution could be modeled using the data provided in this table.

Using the random number table 14.3 in your text, column 1, reading across row 1, what

is the average length of the next five contracts?

A) 5

B) 6

C) 4

D) 3

________ is a linear regression model relating demand to time.

A) Linear trend

B) Linear regression

C) Forecast demand

D) Linear equation

A decision tree is a diagram consisting of:

A) branch angles that vary as likelihoods increase.

B) triangle probability nodes.

C) branches representing decision alternatives.

D) perfect information.

A professor's son, having made the wise decision to drop out of college, has been

finding his way in life taking one job or another, leaving when his creativity is overly

stifled or the employer tires of his creativity. The professor dutifully logs the duration of

his son's last few careers and has determined that the average duration is normally

distributed with a mean of sixty six weeks and a standard deviation of twenty weeks.

The next career begins on Monday; what is the likelihood that it endures for more than

one year?

A) 76%

B) 66%

C) 34%

D) 24%

Napoleon is contemplating four institutions of higher learning as options for a Masters

in Business Administration. Each university has strong and weak points and the demand

for MBA graduates is uncertain. The availability of jobs, student loans, and financial

support will have a significant impact on Napoleon's ultimate decision. Vanderbilt and

Seattle University have comparatively high tuition, which would necessitate Napoleon

take out student loans resulting in possibly substantial student loan debt. In a tight

market, degrees with that cachet might spell the difference between a hefty paycheck

and a piddling unemployment check. Northeastern State University and Texas Tech

University hold the advantage of comparatively low tuition but a more regional appeal

in a tight job market. Napoleon gathers his advisory council of Kip and Pedro to assist

with the decision. Together they forecast three possible scenarios for the job market and

institutional success and predict annual cash flows associated with an MBA from each

institution. All cash flows in the table are in thousands of dollars.

Under which decision making criterion is Texas Tech University the optimal decision?

A) maximax

B) maximin

C) minimax regret

D) equally likely

Which of the following is not a typical characteristic of a linear programming problem?

A) Restrictions exist.

B) A choice among alternatives is required.

C) The problem can be solved graphically.

D) The problem has an objective.

The basic decision environment categories are:

A) certainty.

B) risk.

C) uncertainty.

D) all of the above

The ________ property of linear programming models indicates that the values of all

the model parameters are known and are assumed to be constant.

A) additive

B) divisibility

C) certainty

D) proportionality

Given the nonlinear programming model:

Max Z = 5x1 - 2x2

2

Subject to: x1 + x2 = 6

What are the optimal values of x1 and x2?

A) x1 = 4.75, x2 = 1.25

B) x1 = 5.00, x2 = 3.25

C) x1 = 4.50, x2 = 2.25

D) x1 = 4.50, x2 = 1.25

E) x1 = 5.75, x2 = 0.75

The ________ process is analogous to gambling devices.

A) Simulation

B) Monte Carlo

C) Monaco

D) none of the above

A single-server waiting line system has an arrival pattern characterized by a Poisson

distribution with 3 customers per hour. The average service time is 12 minutes. The

service times are distributed according to the negative exponential distribution.The

expected number of customers in the waiting line is:

A) .6.

B) .7.

C) .8.

D) .9.

The slope of a curve at its highest point equals:

A) 0

B) 1

C) 2

D) 3

Which steps of the management science process can either be a recommended decision

or information that helps a manager make a decision?

A) model implementation

B) problem definition

C) model solution

D) problem formulation

Consider the following project.

Determine the critical path.

A) ACEH

B) BCEH

C) BDFH

D) BDGH

Armed only with his fingers, the owner decides that the safest forecasting approach is a

linear trend line. Generate a forecast for the year using this technique and then calculate

forecast errors using MSE. What is the mean squared error for this forecasting

approach?

A) 1033

B) 1217

C) 1282

D) 1148

If the constraint 3x1 + 4x2 + (d1

-) - (d1

+) = 250 measures hours, then:

A) 3x1 + 4x2 is equal to the actual time spent.

B) if d1

- is equal to 25, then 3x1 + 4x2 must equal 25.

C) overtime could be represented by d1

-.

D) hours can take only an integer value.

Riverside Industries makes two products and each product is processed in three

departments. The time requirements for each product in each department are given

below. The profit for each product is also provided as well as the available hours in

each department.

Product Department A Department B Department C Profit

1 3 4 2 1

2 2 1 2 2

Available Hours 600 400 400

Management wants to achieve three goals. The first two goals are equal in priority.

Priority 1: Produce at least 125 units of product 1.

Priority 1: Produce at least 80 units of product 2.

Priority 2: Achieve a profit of at least 300.

Goal programming solutions achieve the ________ satisfactory solution possible.

A) best or most

B) worst or least

C) only

D) somewhat

In the ________ process, the decision maker determines how well each alternative

scores on a criterion using pairwise comparisons.

A) linear programming

B) simplex tableau

C) goal programming

D) analytical hierarchy

A rendering plant wishes to use the data (sales records from a few local businesses and

the month of the year) to help determine their supply level for the coming months. The

records shown in the table provide an excellent opportunity for you to assist them with

their forecasting.

Using 1 to represent January, 2 to represent February, and so on, what is the intercept

for the regression equation that predicts the pounds of supplies available?

A) 0.55

B) -2.74

C) 59.55

D) 8.87

________ numbers are numbers derived from a mathematical process that appear to be

random.

A) Random

B) Pseudorandom

C) Randomized

D) Semi-random

In a binomial distribution, for each of n trials, the event:

A) time between trials is constant.

B) always has the same probability of occurring.

C) result of the first trial influence the next trial.

D) trials are continuous.

Jolt - K

The soda machine outside the lecture hall sees a steady stream of customers throughout

the day. The machine takes 4 seconds to deliver a can of carbonated sugar water once

the button is pressed and students generally know what they want from the machine -

the average feeding of the machine takes two seconds. Over the course of a twelve hour

lecture day, students arrive at the rate of 500 per hour.

Jake is cutting it close for class this morning. Right now it is 9:59:40 and the professor

has been known to slam the door and lock it at 10:00:00, laughing manically at the

students that are out in the hall. Jake desperately needs a soda to make it through class

this morning so he stops to buy one. What will be the outcome of this decision?

A) Jake will enjoy his soda out in the hall, having missed class by five seconds.

B) Jake will enjoy his soda out in the hall, having missed class by one second.

C) Jake will enjoy his soda while listening to a lecture having made it in the room with

five seconds to spare.

D) Jake will enjoy his soda while listening to a lecture having made it in the room with

fourteen seconds to spare.

The following is a graph of a linear programming problem. The feasible solution space

is shaded, and the optimal solution is at the point labeled Z*.

Which of the following points is not feasible?

A) A

B) B

C) H

D) G

Let xij = gallons of component i used in gasoline j. Assume that we have two

components and two types of gasoline. There are 8000 gallons of component 1

available, and the demand gasoline types 1 and 2 are 11,000 and 14,000 gallons,

respectively. Write the demand constraint for gasoline type 1.

A) x21 + x22 = 11000

B) x12 + x22 = 11000

C) x11 + x21 ≤ 11000

D) x11 + x21 = 11000

The manager of the Quick Stop Corner convenience store (which is open 360 days per

year) sells four cases of Stein soda each day (1440 cases per year). Order costs are

$8.00 per order. The lead time for an order is three days. Annual holding costs are equal

to $57.60 per case.If the daily demand is 40 and the level time in days is 4, what is the

reorder point?

A) 120

B) 140

C) 160

D) 180

Companies A, B, and C supply components to three plants (F, G, and H) via two

crossdocking facilities (D and E). It costs $4 to ship from D regardless of final

destination and $3 to ship to E regardless of supplier. Shipping to D from A, B, and C

costs $3, $4, and $5, respectively, and shipping from E to F, G, and H costs $10, $9, and

$8, respectively. Suppliers A, B, and C can provide 200, 300 and 500 units respectively

and plants F, G, and H need 350, 450, and 200 units respectively. Crossdock facilities D

and E can handle 600 and 700 units, respectively. Logistics Manager, Aretha Franklin,

had previously used "Chain of Fools" as her supply chain consulting company, but now

turns to you for some solid advice.

How would the transshipment location constraints read if it was OK to store product

there on a temporary basis?

The shipping company manager wants to determine the best routes for the trucks to take

to reach their destinations. This problem can be solved using the ________ solution

technique.

Consider the following linear programming problem and the corresponding final

tableau.

MAX Z = 3 + 5

s.t. ≤ 4

2 ≤ 12

3 + 2 ≥ 18

What is the sensitivity range for the first constraint?

Consider the following integer linear programming problem:

Max Z = 3x1 + 2x2

Subject to: 3x1 + 5x2 ≤ 30

4x1 + 2x2 ≤ 28

x1 ≤8

x1 , x2 ≥ 0 and integer

The solution to the linear programming formulation is: x1 = 5.714, x2 = 2.571.

What is the optimal solution to the integer linear programming problem?

State the optimal values of decision variables and the value of the objective function.

If Xij = the production of product i in period j, write an expression to indicate that the

limit on production of the company's three products in period 2 is 400.

Consider the following linear programming problem:

Max Z = $15x + $20y

Subject to: 8x + 5y ≤ 40

0.4x + y ≥ 4

x, y ≥ 0

Determine the values for x and y that will maximize revenue. Given this optimal

revenue, what is the amount of slack associated with the first constraint?

Robert has the following accounts on money spent on gambling and winnings:

Develop a regression equation that relates the money Robert spends and the money he

wins.

When demand exceeds supply, a dummy ________ is added to the solution tableau.

Solve the following integer linear program using implicit enumeration.

MAX Z =

subject to: - + ≤ 0.5

+ ≤ 3.5

, ≥ 0 and integer

Lenny, a graduate research assistant "moonlights" at the short order counter in the

student union snack bar in the evenings. He is the only one on duty at the counter

during the hours he works. Arrivals to the counter seem to follow the Poisson

distribution with a mean of 8 per hour. Each customer is served one at a time and the

service time follows an exponential distribution with a mean of 5 minutes.

On average how many people are waiting in line at any time and what is the average

wait?

In a ________ inventory system, an order is placed for a variable amount after a fixed

passage of time.

Consider the following manual simulation of machine breakdowns and repair.

What operating characteristics can be obtained from this simulation?

In a bank drive-through, there is a single service window and room only for two cars to

line-up to wait for service. The mean time between arrivals for drive through customers

is 5 minutes. The mean time to complete a customer transaction is 3 minutes. The

number of arrivals is distributed according to a Poisson distribution and the service

times are exponentially distributed.

What is the average time a customer spends in the line waiting to be served?

If we are solving a 0-1 integer programming problem, the constraint x1 + x2 ≤ 1 is a

________ constraint.

The Deadbeats

After months of broken promises, partial payments, and general stupidity, the landlord

had no choice but to evict the long term tenants that had become little more than

squatters in his first rental property. As he surveyed the damage and pondered a mix of

repairs an upgrades, he scoured the latest statistics on what Different upgrades might be

worth in terms of increased rent. Beautifully refinished wood floors could increase the

monthly rent about $100 and an upgrade to the kitchen would fetch $80 per month. The

garage door needed replacement, but even though it would receive daily use, it was

almost an order qualifier, and wouldn't net more than $20 per month. The house had

always suffered from lack of a back door you had to access the backyard through the

garage, so taking out a window and replacing it with a safety door would cost $250 and

add only $15 to the monthly rent. The garage door would cost $350, the kitchen update

would cost $1000 if he went with granite, and the floor refinish job would cost $400 to

rent the buffer and buy the chemicals. It wouldn't be easy doing these upgrades; the

garage door would take a half week, the back door one week, the floors two weeks and

the tile three weeks.

There was another way around these jobs though; instead of doing them himself, the

landlord could always hire a professional in each field that could finish the job in half

the time but would charge a pretty penny for that speed. Refinishing floors would cost

$2700, upgrading the kitchen would cost $2500, replacing the back window with a door

would cost $600, and installing a garage door opener would cost $350. Formulate an

appropriate model for this scenario.

________ can enable one to improve marginal probabilities of the occurrence of an

event by gathering additional information.