Below is the spreadsheet for demand prediction of a company that sells chocolates.
Given that D = a-bP, where D, is demand, “a” and “b,” are linear constants, and P, is
price, from the below spreadsheet, how will the formula in B9 be represented in Excel
using relative addressing?
A) B4-B5*A9
B) C5-C6*A10
C) B4-B5*A10
D) B5-B6*A10
________ is the term used by Analytic Solver Platform for systematic methods of
“what-if” study.
A) Scenario
B) Validity
C) Parametric sensitivity analysis
D) Goal Seek
Which of the following inputs of a decision model is an example of data?
A) estimated consumer demand
B) inflation rates
C) costs
D) investment allocations
Following is an extract from the Cost per Order Database of Grogtes LLC.
Which of the following does the 38th percentile of the costs per order indicate?
A) 62% of the costs per order are more than or equal to $190.40.
B) 38% of the costs per order are less than or equal to $189.20.
C) 62% of the costs per order are less than or equal to $484.16.
D) 38% of the costs per order are more than or equal to $501.80.
Which of the following is the initial step in conducting a hypothesis test?
A) collecting data and calculating a test statistic
B) selecting a level of significance
C) identifying the population parameter of interest
D) determining a decision rule
Fiberia Accessories, a clothing retailer, is planning to introduce a new line of sweaters
as part of the winter collection for $65 with an inventory of 1500. The main selling
season is 60 days between November and December. The store then sells the remaining
units in a clearance sale at 65 percent discount. Out of the 60 main retail days, Fiberia
sells the sweaters at full retail price for only 45 days, while giving a discount of 25
percent for the remaining 15 days. The demand functions a, and b are given as 79.5 and
1.1 respectively.
Calculate the daily sales during the discount sales period.
A) 39.28
B) 133.3
C) 388.13
D) 25.88
Which of the following is true about determining the proper form of the hypotheses?
A) H0 is statistically proved true while testing
B) failure to reject H0 proves H1 wrong
C) H0 is always assumed to be true in testing
D) H1 is always assumed to be true in testing
Coppell Services contracts with outsourcing partners to handle various customer service
functions. Based on a study of call volumes provided by one of the firm’s partners, the
minimum number of staff needed for each hour of the day is as follows:
Mr. Coppell hires 6 permanent employees and wants to staff the remaining
requirements using part-time employees who work 4-hour shifts (four consecutive
hours starting as early as 8 A.M. or as late as 1 P.M.).
How many excess employees are present in the 4-5 time slot?
A) 0
B) 2
C) 4
D) 6
Below is the spreadsheet for a project selection model.
Answer the following question(s) using a model with uncertainty on project selection.
Assume that the distribution on each project return is LogNormal. Use 10,000 trials and
1 for random seed for the simulation.
What is the coefficient of variation obtained from the simulation results? [Hint: Choose
the approximate value.]
A) 0.386
B) 0.589
C) 0.415
D) 0.669
Below is the table showing rate of shoes sold per day and the highest-priced shoe sold
that day for a one-week period. The rate of shoes sold per day (X) and the price of the
shoes (Y).
Use Excel to calculate the standard deviation for Y.
A) 49.57
B) 16.47
C) 7.04
D) 2.6
Below is a payoff table that lists four mortgage options:
What is the average payoff for the 5-year ARM?
A) $ 49,514
B) $ 52,015
C) $ 53,395
D) $ 51,641
________ means that the variation about the regression line is constant for all values of
the independent variable.
A) Autocorrelation
B) Normality of errors
C) Homoscedasticity
D) Linearity
If cellG7 containsthefunction, itstatesthatifthevalueincellC3is9, the
number 7 will be assigned to cell G7; if the value in cell C3 is not 9, the number 4 will
be assigned to cell G7.
A) =IF(G7=9)(G7=7)=OR(G7=4)
B) =IF(G7=7)=THEN(C3=9)=OR(C3=4)
C) =IF(C3=9)(C3=7)=OR(C3=4)
D) =IF(C3=9,7,4)
The Riviera Transport Company (RTC) produces car accessories at two plants: Dallas
and Atlanta. They ship them to major distribution centers in Houston, San Jose,
Jacksonville, and Memphis. The accounting, production, and marketing departments
have provided the information in the table below, which shows the unit cost of shipping
between any plant and distribution center, plant capacities over the next planning
period, and distribution center demands. RTC’s supply chain manager faces the problem
of determining how much to ship between each plant and distribution center to
minimize the total transportation cost, not exceed available capacity, and meet customer
demand.
Assume Xij = amount shipped from plant i to distribution center j, where i = 1
represents Dallas, i = 2 represents Atlanta, j = 1 represents Houston, and so on.
Which of the following is the constraint for total amount shipped from Atlanta?
A) X11 + X12 + X13 + X14 – X21 + X22 + X23 + X24 ≤ 850
B) X21 + X22 + X23 + X24 ≤ 750
C) X21 + X22 + X23 + X24 ≤ 1250
D) X11 + X12 + X13 + X14 ≤ 1250
________ is a data-mining technique used for classifying a set of observations into
predefined classes.
A) Logistic regression
B) k-Nearest Neighbors algorithm
C) Discriminant analysis
D) Linear regression
Jonathan Reese is considering three stocks in which to invest with a fixed budget. The
table below provides information on Jonathan’s expected returns for each stock. The
table also provides information, collected from market researchers, on the
variance-covariance matrix of the individual stocks. He expects a total return of at least
10%.
Develop a quadratic optimization model to find the optimal allocation of the budget to
each stock, and variance calculations for squared terms and cross-products based on the
variance-covariance matrix.
According to the model, what is the cross-product value for Stock 3 variance?
A) 0.00049
B) 0.00283
C) -0.00047
D) 0.00074
The table provided below gives the sales details of the number of android smart phones
at an electronic retail store for the past 6 weeks. The time series appears to be relatively
stable, without trend, seasonal, or cyclical effects. (Hint: Optimize α value in 0.1
increments)
Which of the following is the value of the root mean square error for the given data?
A) 11.56
B) 21.77
C) 13.87
D) 20.13
The Atlas Movies Theater has repriced their ticket rates to maximize revenues. They
have three classes of tickets: Classic, Silver, and Gold. The table below provides
information on the average ticket sales, revenue and price elasticity on demand. They
have a total seating capacity of 300. The table also provides the new price for the three
classes obtained using Solver.
Assume the distributions of elasticities for three classes of tickets are uniform with
minimum and maximum values equal to 75% and 125% of their estimated values,
respectively. Under this assumption, use Monte Carlo simulation to see what happens to
the prediction of tickets sold. The model is simulated for 10,000 trials.
What is the coefficient of variation obtained from the simulation results?
A) 0.086
B) 0.120
C) 0.014
D) 0.048
________ is the parameter that specifies when the Solver algorithm will terminate an
optimization process with integer constraints.
A) Mutation Rate
B) Population Size
C) Integer Tolerance
D) Convergence
Which of the following is true about the observed errors associated with estimating the
value of the dependent variable using the regression line?
A) They are the horizontal distances between slopes and y-intercepts.
B) The errors are also referred to as critical values.
C) They are always maximized by the regression lines.
D) The errors can be negative or positive.
Below is a payoff table that lists four mortgage options:
The probability of rates rising is 0.6, rates stable is 0.3, and rates falling is 0.1. Answer
the following questions by creating a decision tree.
Which of the following is considered the worst expected value decision?
A) 1-year ARM
B) 3-year ARM
C) 5-year ARM
D) 30-year fixed
Shirley Templeton is a real estate agent for Paralol Realty. Shirley is given the
responsibility to manage potential customers for 5 of the Realty’s bungalows. These 5
bungalows are situated in close proximity. In order to make traveling easier, Shirley
decides to move to a location closer to the 5 bungalows. The table below gives the
location (X and Y coordinates) of the 5 bungalows along with the number of trips she
would have to make to each bungalow. Create a nonlinear model based on the data
given in the table below noting that the objective is to reduce the weighted distance
between Shirley’s accommodation and the 5 bungalows.
According to the model, what is the weighted distance between Shirley’s new
accommodation and Bungalow 4?
A) 589.25
B) 346.77
C) 1529.39
D) 3152.08