Business 714 Midterm 1 | Course Paper

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The ________ algorithm is a classification scheme that attempts to find records in a

database that are similar to one we wish to classify.

A) linear regression

B) logistic regression

C) k-Nearest Neighbors

D) discriminant analysis

Following is an extract from the Cost per Order Database of Grogtes LLC.

What is the rank of the 42nd percentile of the costs per order ?

A) 17

B) 13.35

C) 19

D) 33.75

The Risk Solver Platform ________ chart shows the minimum, first quartile, median,

third quartile, and maximum values in a data set graphically.

A) trend

B) sensitivity

C) overlay

D) box-whisker

Below is the spreadsheet for a project selection model:

What is the total return obtained from all five projects?

A) $ 860,000

B) $ 550,000

C) $ 700,000

D) $ 395,000

Bolton Computer’s

Laptop

Pricing Decision

Inputs

Price

Model

Sales -3.85 price + 1150.9

Outputs

Total revenue sales price

According to the nonlinear model, which of the following is the expected sales figure

based on the computed price?

A) 149.47

B) 719.7

C) 575.45

D) 500

A trader who wants to predict short-term movements in stock prices is likely to use

________ analytics.

A) predictive

B) descriptive

C) normative

D) prescriptive

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.

Based on the Sensitivity Report on the model, which of the following is the savings on

a reduction of demand of 2 units at Jacksonville?

A) $2.5

B) $1.25

C) $19.48

D) $16.98

Stone Age Surfboards is a small manufacturer of two types of popular high-tide

surfboards, the Rockwell and the Limestone models. The manufacturing process

consists of two departments: fabrication and finishing. The fabrication department has

15 skilled workers, each of whom works 5 hours per day. The finishing department has

5 workers, who also work a 5-hour shift. Each pair of Rockwell surfboards requires 3

labor hours in the fabrication department and 1.5 labor hours in finishing. The

Limestone model requires 4.5 labor- hours in fabrication and 2 labor-hours in finishing.

The company operates 6 days a week. It makes a per-unit profit of $60 on the Rockwell

model and $75 on the Limestone model. Approximately 4.1 Rockwell models and 8.4

Limestone models are produced per day.

What is the total profit generated?

A) $ 876.00

B) $ 675.50

C) $ 480.50

D) $ 965.00

Logistic regression is different from discriminant analysis in that logistic regression

________.

A) does not predict the weights

B) sets observation into predefined classes

C) does not depend on assumptions

D) depends on assumptions such as normalization of independent variables

In an event X, the probability of rolling a sum of 8 on two dice is 5/36 while the

probability of

rolling an 11 is 2/36. In another event Y, the probability of rolling a 2 is 1/36, the

probability of

rolling a 9 is 4/36, and the probability of rolling a 4 is 3/36.

What is the probability that either event X or Y occurs?

A) 8/36

B) 15/36

C) 7/36

D) 1/36

Pickson Luthiers Corporation is studying where to locate a phone charging point on the

factory floor. The locations of five production cells are expressed as X– and

Y-coordinates on a rectangular grid of the factory layout. The daily demand for the

charging point (measured as the number of trips to the charging point) at each

production cell is also known. Because of the nature of the equipment layout in the

factory and for safety reasons, workers must travel along marked horizontal and vertical

aisles to access the charger. Thus, the distance from a cell to the charger is measured as

rectilinear distance.

The table below provides the relevant information.

The optimal location should minimize the total weighted distance between the charging

point and all production cells, where the weights are the daily number of trips to the

phone charging point.

According to the model, which of the following is the X-coordinate for the phone

charger location?

A) 2.00

B) 3.00

C) 3.50

D) 4.00

Remington Textiles has a mill that produces three types of fabrics on a make-to-order

basis. The mill operates on a 24/7 basis. The key decision facing the plant manager is

about the type of loom needed to process each fabric during the coming 12 weeks to

meet demands for the three fabrics and not exceed the capacity of the looms in the mill.

Two types of looms are used: Jaquard and Northrop. Jaquard looms can be used to

make all fabrics and are the only looms that can weave certain fabrics, such as plaids.

Demands, variable costs for each fabric, and production rates on the looms are given in

the table below. The mill has 10 Northrop looms and 2 Jaquard looms. Any fabrics that

cannot be woven in the mill because of limited capacity will be purchased from an

external supplier, finished at the mill, and sold at the selling price. In addition to

determining which looms to use to process the fabrics, the manager also needs to

determine which fabrics to buy externally.

According to the model, what is the total amount of Fabric 2 to be produced with

Northrop?

A) 0

B) 62,000

C) 20,160

D) 32,595

According to statistical notations, what does Î£ stand for?

A) to act as a summation operator

B) to represent sample statistics

C) to represent population measures

D) to represent the number of items in a population