Which of the following is true for a median?
A) A median is only meaningful for interval or ordinal data and not for ratio data.
B) Medians can be calculated no matter how the data is arranged.
C) Medians are affected by outliers.
D) For an even number of observations, the median is the mean of the two middle
numbers.
________ is a measure of the linear association between two variables, X and Y.
A) Kurtosis
B) Proportion
C) Skewness
D) Covariance
Below is a spreadsheet for a hotel overbooking model.
Assume that each reservation has a constant probability p = 0.04 of being cancelled.
Answer the question(s) using the Risk Solver Platform.
With respect to B14, what should the number of trials correspond to in the Parameters
section of the Binomial dialog?
A) reservation limit
B) customer demand
C) reservations made
D) customer arrivals
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
Cerebro Manufacturing produces four types of structural support fittings-plugs, rails,
rivets, and clips-which are machined on two CNC machining centers. The machining
centers have a capacity of 250,000 minutes per year. The gross margin per unit and
machining requirements are shown in the spreadsheet below.
What is the maximum possible production of rails based on the machine capacity?
A) 250,000.00
B) 83,333.33
C) 166,666.67
D) 125,000.00
Which of the following ways would 102 53/ 100 – 73 be represented in an Excel
spreadsheet?
A) 10(2) * 5(3) / 100 ^ 73
B) 10(2) ^ 5(3) / 100 – 73
C) 10^2 * 5^3 / 100 – 73
D) 10*2 ^ 5*3 / 100 – 73
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.
According to the Sensitivity Report, which of the following is true if the capacity at
Atlanta is increased by 230 units?
A) the total cost can be reduced by $.09 per unit
B) the total cost at Atlanta increases by $9
C) the total cost per unit will reduce by $.09 to Memphis
D) the shadow price at Atlanta will increase to $0.09
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 weighted distance between the
phone charger and Electricals cell?
A) 75.00
B) 125.00
C) 100.00
D) 112.50
Below is a payoff table with three mortgage options:
What is the expected opportunity loss for the 1-year ARM?
A) $ 7,979.60
B) $ 3,959.40
C) $ 6,853.50
D) $ 8,621.40
Dresden Pharmaceuticals has decided to go ahead and start clinical trials on a potential
new drug. The total R&D costs are estimated to reach around $875,000,000 with
clinical trials mounting to $145,000,000. The current market size is estimated to be
around 3,000,000 and is expected to grow at 4 percent every year. The market share
Dresden hopes to capture in the first year is 7 percent, and is projected to grow by 25
percent each year for the next 4 years. A monthly prescription is anticipated to generate
revenue of $420 while incurring variable costs of $150. A discount rate of 8 percent is
assumed.
Calculate the annual revenue for the fourth year.
A) $ 2,325,304,800
B) $830,466,000
C) $1,494,838,800
D) $1,149,876,000
Consider the following spreadsheet for an outsourcing decision model.
We assume that the production (demand) volume is normally distributed with a mean of
1,000 and a standard deviation of 100. For the unit cost, select the triangular
distribution. It has a minimum value of $150, most likely value of $165, and a
maximum value of $190. The number of trials per simulation is equal to 5,000 at a Sim.
Random Seed of 1. Run the simulation and answer the following question(s) using the
Risk Solver Platform.
What is the cost difference upper cutoff in thousands of dollars if the likelihood is 75%?
A) approximately 46
B) approximately 28
C) approximately 32
D) approximately 59
Below is a decision tree illustrating the R&D process for a new drug.
Let us assume that if market is large, payoff is lognormally distributed with a mean of
$4,900 million and a standard deviation of $1,000 million; if market is medium, payoff
is lognormally distributed with a mean of $2,500 million and a standard deviation of
$500 million; and if market is small, payoff is normally distributed with a mean of
$1,800 million and standard deviation of $200 million. Let us also assume that the cost
of clinical trials is uncertain and estimates are modeled with a triangular distribution
with a minimum of -$ 700 million, a most likely value of – $550 million, and a
maximum of -$500 million. Use 10,000 trials and a random seed of 1.
What is the coefficient of variation obtained from the simulation results? [Hint: Choose
the approximate value.]
A) 1.587
B) 1.122
C) 2.015
D) 1.890
Below is a spreadsheet for a hotel overbooking model.
Assume that each reservation has a constant probability p = 0.04 of being cancelled.
Answer the question(s) using the Risk Solver Platform.
Which of the following cells is defined as an output cell?
A) B13
B) B14
C) B15
D) B17
In multiple regression, R Square is referred to as the:
A) multiple correlation coefficient.
B) coefficient of autocorrelation.
C) coefficient of multiple determination.
D) multiple significance coefficient.
Belowisaspreadsheetofpurchaseordersfor acomputerhardwareretailer.
To find the total order cost, what Excel formula should be used in A12?
A) =COUNT(C4:C10)
B) =COUNT(C4:C7)
C) =MAX(C4:C10)
D) =SUM(E4:E10)
Which of the following allow meaningful comparison of ranges, averages and other
statistics?
A) interval data
B) categorical data
C) ratio data
D) ordinal data
For two variables, a positive correlation coefficient indicates ________.
A) a linear relationship exists for which one variable increases as the other also
increases
B) a linear relationship exists for one variable that increases while the other decreases
C) that the two variables have no linear relationship with each other
D) a nonlinear relationship with no linear correlation between the two variables