A 100(1-α)% confidence interval for the population mean μ based on a sample of size
n with a sample mean ̅and a known population standard deviation σ is given by
________
A) za/2(n-1)( )
B)
C) x1 – / (σ / )
D) ̅ za/2(σ / √ )
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 Y-coordinate for the phone
charger location?
A) 1.50
B) 1.00
C) 3.00
D) 5.00
Below is the spreadsheet for a newsvendor model.
Answer the following question(s) using multiple parameterized simulations. The range
for the historical demand is 40-51. Assume a uniform integer distribution for demand,
and run 12 simulations for different purchase quantities. Use 5,000 trials and 1 for
random seed.
Which of the following is the best purchase quantity to maximize the expected profit if
demand is 42?
A) 42
B) 45
C) 48
D) 51
________ 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
The payoff table given below lists four mortgage options:
The probability of rates rising is 0.6, rates stable is 0.3, and rates falling is 0.1.
What is the expected payoff for the 1-year ARM?
A) $ 53,082.00
B) $ 16,951.00
C) $ 56,938.00
D) $ 18,979.30
In a lower one -tailed hypothesis test, chosen level of significance = 0.10, sample size =
55, and t-test statistic = -1.76.
Which of the following computes the test statistic for a one-sample test for proportions?
A) z =
B) z =
C) z =
D) z =
Which of the following is true of an unbiased estimator value?
A) The expected value will align perfectly with the population mean.
B) The expected value will not equal the population’s parameters.
C) The expected value will not be greater than zero.
D) The expected value will equal the population’s parameter.
In aMATCH function,ifthematch_type=0,then _____
A) the function finds the largest value that is less than or equal to lookup_value
B) the function finds the smallest value that is greater than or equal to lookup_value
C) MATCH finds the first value that is exactly equal to lookup_value
D) the values in the lookup_array must be in a particular order
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 3 to be purchased?
A) 2,405
B) 0
C) 32,595
D) 35,000
The difference between the first and third quartiles is referred to as the ________.
A) standard deviation
B) variance
C) interquartile range
D) midrange
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 number of hours used for fabrication?
A) 42.58
B) 50.10
C) 35.64
D) 22.95
Stone Age Surfboards is a small manufacturer of two types of popular low-tide
surfboards, the Graystone and the Lava models. The manufacturing process consists of
two departments: fabrication and finishing. The fabrication department has 8 skilled
workers, each of whom works 9.25 hours per day. The finishing department has 5
workers, each of whom works a 6 -hour shift per day. Each pair of Graystone
surfboards requires 2.5 labor hours in the fabrication department and 2 labor hours in
finishing. The Lava model requires 4.2 labor-hours in fabrication and 3.6 labor-hours in
finishing. The company operates 6 days a week. It makes a per unit profit of $40 on the
Graystone model and $60 on the Lava model. The company anticipates selling at least
twice as many Lava models as Graystone models.
What is the total number of hours used for the finishing operation?
A) 18.7
B) 30.0
C) 35.5
D) 24.2
Which of the following is true when testing for normality of errors?
A) Normality is verified by inspecting for a bell-shaped distribution.
B) It is easier to evaluate normality with small sample sizes.
C) A scatter diagram of the whole data is always used to verify normality.
D) Errors are normally distributed when the scatter diagram shows a straight-line
distribution.
Which of the following equations correctly expresses the relationship between the two
variables?
A) Value = (-181.16) + 13.493 Number of years
B) Number of years = Value / 12.537
C) Value = (459.34 / Number of years) 4.536
D) Number of years = (17.538 Value) / (-157.49)
In a lower one -tailed hypothesis test, chosen level of significance = 0.10, sample size =
55, and t-test statistic = -1.76.
Which of the following is the conclusion?
A) This is a high probability and the conclusion is difficult.
B) The null hypothesis is rejected.
C) There are many sampling errors.
D) The null hypothesis cannot be rejected.
Explain the concept of curvilinear regression model.
Following is an extract from a firm’s database detailing the number of hours spent on
the job by employees and their corresponding pay. (Note: Assume a level of
significance of 0.05 wherever necessary.)
Is the hours spent on the job a statistically significant variable in explaining the
variation in pay of employees? (Hint: Use Regression tool).
Explain the method of solving models with general integer variables.
What is a value at risk constraint?
How does Excel distinguish between vertical and horizontal bar charts?