1) In a scatter diagram, the dependent variable is typically plotted on the horizontal
axis.
2) The minimax criterion is equivalent to maximizing one’s minimum gains.
3) During World War II, many new scientific and quantitative techniques were
developed to assist the military, and these developments were so successful that many
companies started using similar techniques in managerial decision making and planning
after the war.
4) Business Analytics is a data-driven approach to decision making that allows
companies to make better decisions.
5) A matrix having only a single column with multiple rows, or a single row with
multiple columns, is called a vector.
6) The minimal-spanning tree technique finds the shortest route to a series of
destinations.
7) Economic order quantity (EOQ) analysis has recently become practical as a
consequence of high-speed computers.
8) If all the numbers in the pivot column are negative, this implies that the solution is
unbounded.
9) Assume that you have a box containing five balls: two red and three white. You draw
a ball two times, each time replacing the ball just drawn before drawing the next. The
probability of drawing only one white ball is 0.20.
10) CleanClothes dry cleaners is opening a pick-up and delivery service. There is only
one other dry cleaner that currently offers this service. To advertise, CleanClothes is
considering either newspaper ads or attaching flyers to the doors of many local homes.
The payoff for each of CleanClothes’ potential strategies is given in the table below.
What strategy will the existing dry cleaners (Y) play?
A) X1
B) X2
C) Y1
D) Y2
E) Not enough information given
11) Matrices and determinants are useful for
A) Markov analysis.
B) game theory.
C) linear programming.
D) All of the above
E) None of the above
12) The school of business has 3 fax machines. The toner in each machine needs to be
changed after about 5 hours of use. There is one unit secretary who is responsible for
the fax machine maintenance. It takes him 15 minutes to replace the toner cartridge.
What is the average waiting time in the queue?
A) .0142 hour
B) .1563 hour
C) .0249 hour
D) .2749 hour
E) None of the above
13) How does Karmarkar’s Algorithm differ from the simplex method?
A) It follows a path of integer solutions.
B) It follows a path inside the feasible region.
C) It follows a counterclockwise path around the outside edges of the feasible region.
D) It follows a clockwise path around the outside edges of the feasible region.
E) It incorporates a second set of artificial variables.
14) A consulting firm has received 2 Super Bowl playoff tickets from one of its clients.
To be fair, the firm is randomly selecting two different employee names to “win” the
tickets. There are 6 secretaries, 5 consultants and 4 partners in the firm. Which of the
following statements is not true?
A) The probability of a secretary winning a ticket on the first draw is 6/15.
B) The probability of a secretary winning a ticket on the second draw given that a
consultant won a ticket on the first draw is 6/15.
C) The probability of a consultant winning a ticket on the first draw is 1/3.
D) The probability of two secretaries winning both tickets is 1/7.
E) The probability of a partner winning a ticket on the second draw given that a
secretary won a ticket on the first draw is 4/14.
15) Table 12-4
According to the information provided in Table 12-4, which presents a queuing problem
solution for a queuing problem with a constant service rate, on average, how much time
is spent waiting in line?
A) 1.875 minutes
B) 1.125 minutes
C) 0.625 minute
D) 0.375 minute
E) None of the above
16) GATRA, the Greater Attleboro-Taunton Regional Transit Authority serves six cities
(City 1-City 6). While there are many restrictions (primarily roads on which they may
not travel), they do have some choice of routes. The distances between cities, along
permitted routes, are presented below.
What is the shortest route?
A) 1-3, 3-5, 5-6
B) 1-2, 2-3, 3-4, 4-5, 5-6
C) 1-3, 3-4, 4-5, 5-6
D) 1-2, 2-3, 3-5, 5-6
E) None of the above
17) A matrix is
A) a determination of probability.
B) a qualitative tool used to solve a set of simultaneous equations.
C) an array of numbers.
D) a single column of non-zero numbers.
E) None of the above
18) Transportation models can be used for which of the following decisions?
A) facility location
B) production mix
C) media selection
D) portfolio selection
E) employee shift scheduling
19) The shortest-route technique would best be used to
A) assign workers to jobs in the cheapest manner.
B) determine the number of units to ship from each source to each destination.
C) determine the amount of LAN network wiring within a building.
D) minimize the amount of traffic flow on a busy highway.
E) determine the path for a truck making frequent but repeatable drops.
20) Three types of gasoline are manufactured by a company Regular, Super, and Extra.
Regular should have at least 11 percent additive 1 and 17 percent additive 2. Super
should have at least 13 percent additive 1 and 22 percent additive 2. Extra should have
at least 17 percent additive 1 and 19 percent additive 2. These are made by using two
crudes A and B. Crude A cost $28 per barrel and is 14 percent additive 1 and 18 percent
additive 2. Crude B costs $30 per barrel and is 20 percent additive 1 and 24 percent
additive 2. The demand for Regular is projected to be 1,000 barrels, while each of the
others has a demand of 2,000 barrels. Formulate this as a linear programming problem
to minimize cost while meeting all constraints. Carefully define all decision variables.
21) Briefly describe the jury of executive opinion forecasting method.
22) List major ordering cost factors.
23) A computer diskette manufacturer is concerned that some diskettes have bad sectors
that would cause a diskette to hold less information than it was intended to hold. In the
past, only 5% of these diskettes have had bad sectors. If the company wishes to set
95.5% control limits based on samples of size 500, what would these limits be?
24) As more variables are added to the model, what happens to the r2 value?
25) The data below details the distances that a delivery service must travel. Use
dynamic programming to solve for the shortest route from City 1 to City 8.
26) The east-to-west (City 5 to City 1) air traffic system passing through the United
States can handle aircraft flows with capacities in hundreds of planes per hour as
shown. What is the peak air traffic load in aircraft per hour from City 5 to City 1 that
this system can handle?