In Excel, when moving a formula to another cell, it is better to use Copy and Paste
rather than Cut and Paste.
Rationing and shortage gaming occur when supply exceeds demand.
The TOC focuses on correct placement of buffers.
Inventory management, order policies, storage and movement of goods, are not areas
where significant gains in sustainability can be make for companies
Excel’s INDEX function requires the user to use all three arguments for a valid
response.
A heuristic solution always provides the best possible answer.
If a delay in an activity will delay completion of the whole project, the activity has
slack.
There are a limited number of options that are applicable to a hybrid aggregate plan.
Like ‘ABC inventory analysis,’ the tier one, tier two, and tier three supplier designations
are based upon the annual level of purchases made with the suppliers.
Flow operations are often related to high volume production.
Marketing can always meet the customer’s needs.
Executive opinion is a forecasting method designed to preserve anonymity among the
forecasters.
Percentage of orders shipped on schedule is a good measure of finished goods customer
service if:
a) all orders and customers have similar cost impacts.
b) all orders and customers have similar value.
c) all orders and customers have similar backorder requirements.
d) later deliveries are not considered.
e) late deliveries contribute to the overall demand.
The method which relies on a specific algorithm to evaluate the cost impact of adding
potential location sites to the network of existing facilities is
______________________________.
a) cost-volume analysis
b) the transportation method
c) factor rating analysis
d) linear regression analysis
e) the load-distance model
A negative number in the projected available row is ___________ a problem.
a) always
b) never
c) sometimes
d) usually
e) 50%
Which of the following is an advantage of using predetermined time data?
a) You can calculate standard times before the job begins.
b) Very little skill is required.
c) There is universal agreement in assessing the level of difficulty of different work
elements.
d) No calculations are required.
e) You do not need to know much about the job.
In Excel, what are the keystrokes for the ‘Paste’ command?
a) Ctrl-C
b) Ctrl-V
c) Ctrl-X
d) Ctrl-Z
e) Ctrl-P
Being able to keep costs low while changing the volume of production is an example of
a) Simplicity
b) Flexibility
c) Visibility
d) Continuous improvement
e) Total quality management
___________ is a vital link between customers and product design.
a) Engineering
b) Accounting
c) The Internet
d) Operations
e) Marketing
An improvement tool that utilizes cross-functional teams to plan and deliver
improvements to specific processes during two- or three-day marathon sessions is
called a ___________________.
a) kanban blitz
b) cross-functional blitz
c) short-term blitz
d) JIT blitz
e) kaizen blitz
Assume you have a single channel, single server, and single phase queue. Mean arrival
rate is 80/hr and system capacity is 100/hr. What is the average number of customers in
the system?
a) 2
b) 8
c) 4
d) 80
e) 0
Which of the following is a tool for evaluating an operation in terms of the sequence of
steps from inputs to outputs with the goal of improving its design?
a) operations analysis
b) operations sequencing
c) process flow analysis
d) input/output analysis
e) sequencing analysis
On a control chart, what separates common from assignable causes of variation?
a) x-bar lines
b) Control limits
c) Specification limits
d) Production limits
e) Mean divided by standard deviation
Which of the following is a measure of whether the job is done ahead of, on, or behind
schedule?
a) average number of jobs in system
b) mean flow time
c) makespan
d) job tardiness
e) job lateness
Which of the following is not an assumption of the waiting line models presented in the
textbook?
a) the customers are patient
b) customers come from an infinite population
c) customer arrival rate is described by a Poisson distribution
d) service times are described by an exponential distribution
e) in a multi-phase system, a server can serve more than one customer at a time
If setup costs are essentially zero (negligible when compared to carrying costs), which
approach should be used for lot sizing?
a) lot for lot
b) fixed order quantity
c) period order quantity with POQ = 6 periods
d) period order quantity with POQ = 2 periods
e) period order quantity with POQ = 4 periods
What is the probability of a Type I error for a control chart with limits set at ‚ 3
standard deviations from the mean?
a) 0.00%
b) 0.26%
c) 4.56%
d) 20.00%
e) 50.00%
Capacity planning can occur at all but which level:
a) organization
b) division
c) assembly line
d) machine level
e) board of directors level
In Excel, ___________________ references are indicated by a dollar sign character
preceding the column and the row reference.
a) absolute
b) comparative
c) analogous
d) relative
e) correlative
Which of the following is not taken into consideration when dealing with the effects of
working conditions on worker productivity, quality and safety?
a) cafeteria location
b) temperature
c) relative humidity
d) ventilation
e) lighting
Given the following data:
The end product J is made from components K and L. The authorized MPS calls for 10
J to be completed in week 4 and 30 J to be completed in week 7.
(a) What are the gross requirements for K and L?
(b) What are the planned orders for K and L?
The MRP file that contains data on specific materials used to make final products and
their correct quantities is the ______________________.
a) authorized master production schedule
b) bill of materials file
c) inventory records file
d) part status file
e) routing file
What is the term that means giving workers authority to stop the production line when
quality problems are encountered?
a) Automation
b) Kaizen
c) Muda
d) Poka-yoke
e) Jidoka
Consider the mathematical program below. Which of the following choices represents
an upper bound to the problem?
Max 10 ‘“ X2
Subject to
X ≥ 3
a) X = 10
b) X = 5
c) X = 3.5
d) X = -6
e) X = 0
Which of the following techniques determines when the job must begin in order to be
completed by the due date?
a) infinite loading
b) finite loading
c) forward scheduling
d) backward scheduling
e) input/output control
Costs that are proportional to the amount of units produced, such as materials and labor,
are
a) fixed costs
b) marginal revenue
c) sunk costs
d) cost drivers
e) variable costs
Sausage and Cheese Ltd. prepares three gift packages containing sausages and cheeses.
The ‘Tasters,’ ‘Succulent,’ and ‘Gourmet’ gift packages contain 3 sausages and 6 cheeses,
5 sausages and 4 cheeses, and 6 sausages and 5 cheeses, respectively. There are 2500
sausages and 3000 cheeses available for packing, and demand is unlimited. Profits are
$2.50, $3.50, and $4.00 for the ‘Tasters,’ ‘Succulent,’ and ‘Gourmet’ gift packages,
respectively. The goal is to maximize profits. Let T, S, and G represent the number of
gift packages produced of type ‘Tasters,’ ‘Succulent,’ and ‘Gourmet,’ respectively. What
is the objective function for this linear program?
a) Max T + S + G
b) Max 2.5T + 3.5S + 4G
c) Min T + S + G
d) Max 10(T + S + G)
e) Max 9T + 9S + 11G
Firms measure productivity to learn how ________________________ they are.
Explain why external failure costs tend to be very expensive for service organizations.
List some benefits derived from E-commerce.
What are the characteristics of time-based compensation systems?
What is the formula for makespan?
Subcontractor networks reduce reliance on acceptance sampling by
____________________.
Describe how Southwest Airlines competes on cost.
What is the formula efficiency?
How do you know that you have a relative reference in Excel?
If a firm has fixed costs of $250,000, a market-based selling price of $50 per unit, and it
expects to sell 20,000 units, how low must its variable costs be to break even?