Adjusted exponential smoothing is an exponential smoothing forecast adjusted for seasonality.

Answer
Selected Answer:
False
Correct Answer:
False
Question 2
5 out of 5 points
A cycle is an up and down movement in demand that repeats itself in less than 1 year.

Answer
Selected Answer:
False
Correct Answer:
False
Question 3
5 out of 5 points
In a transshipment problem, items may be transported from destination to destination and
from source to source.

Answer
Selected Answer:
True
Correct Answer:
True
Question 4
5 out of 5 points
Excel can be used to simulate systems that can be represented by both discrete and
continuous random variables.

Answer
Selected Answer:
True
Correct Answer:
True
Question 5
5 out of 5 points
In an unbalanced transportation model, supply does not equal demand and one set of
constraints uses signs.

Answer
Selected Answer:
True
Correct Answer:
True
Question 6
5 out of 5 points
If we are solving a 0-1 integer programming problem, the constraint x1 = x2 is a
conditional constraint.

Answer
Selected Answer:
False
Correct Answer:
False
Question 7
5 out of 5 points
A business owner is trying to decide whether to buy, rent, or lease office space and has
constructed the following payoff table based on whether business is brisk or slow.



If the probability of brisk business is .40 and for slow business is .60, the expected value of
perfect information is:
Answer
Selected Answer:

12
Correct Answer:

12
Question 8
5 out of 5 points
Events that cannot occur at the same time in any trial of an experiment are:
Answer
Selected Answer:

mutually exclusive

Correct Answer:

mutually exclusive

Question 9
5 out of 5 points
A business owner is trying to decide whether to buy, rent, or lease office space and has
constructed the following payoff table based on whether business is brisk or slow.



The conservative (maximin) strategy is:
Answer
Selected Answer:

Lease
Correct Answer:

Lease
Question 10
5 out of 5 points
Using the minimax regret criterion to make a decision, you
Answer
Selected
Answer:

Construct a table of regrets. Look at the maximum regret for each
decision. Select the decision with the smallest maximum regret.
Correct
Answer:

Construct a table of regrets. Look at the maximum regret for each
decision. Select the decision with the smallest maximum regret.
Question 11
0 out of 5 points
Using the maximin criterion to make a decision, you
Answer
Selected
Answer:

Look at the best payoff for each possible decision and select the
decision with the largest best payoff
Correct
Answer:

Look at the worst payoff for each possible decision and select the
decision with the largest worst payoff
Question 12
5 out of 5 points
Steinmetz furniture buys 2 products for resale: big shelves (B) and medium shelves (M).
Each big shelf costs $100 and requires 100 cubic feet of storage space, and each medium
shelf costs $50 and requires 80 cubic feet of storage space. The company has $25000 to
invest in shelves this week, and the warehouse has 18000 cubic feet available for storage.
Profit for each big shelf is $85 and for each medium shelf is $75. What is the constraint on
money to invest?
Answer
Selected Answer:

100B + 50M 25000
Correct Answer:

100B + 50M 25000
Question 13
5 out of 5 points
Steinmetz furniture buys 2 products for resale: big shelves (B) and medium shelves (M).
Each big shelf costs $100 and requires 100 cubic feet of storage space, and each medium
shelf costs $50 and requires 80 cubic feet of storage space. The company has $25000 to
invest in shelves this week, and the warehouse has 18000 cubic feet available for storage.
Profit for each big shelf is $85 and for each medium shelf is $75. What is the objective
function?
Answer
Selected Answer:

Max Z = 85B + 75M
Correct Answer:

Max Z = 85B + 75M
Question 14
5 out of 5 points
The following is an Excel Answer and Sensitivity reports of a linear programming
problem:

The Answer Report:

The Sensitivity Report:

Which additional resources would you recommend to be increased?
Answer
Selected Answer:

kiln
Correct Answer:

kiln
Question 15
5 out of 5 points
For a maximization problem, assume that a constraint is binding. If the original amount of a
resource is 4 lbs., and the range of feasibility (sensitivity range) for this constraint is from 3
lbs. to 6 lbs., increasing the amount of this resource by 1 lb. will result in the:
Answer
Selected Answer:

same product mix, different total profit
Correct Answer:

same product mix, different total profit
Question 16
5 out of 5 points
In a portfolio problem, X1, X2, and X3 represent the number of shares purchased of stocks
1, 2, an 3 which have selling prices of $15, $47.25, and $110, respectively. The investor
has up to $50,000 to invest. The investor stipulates that stock 1 must not account for more
than 35% of the number of shares purchased. Which constraint is correct?
Answer
Selected Answer:

X1 0.35(X1 + X2 + X3)
Correct Answer:

X1 0.35(X1 + X2 + X3)
Question 17
5 out of 5 points
Compared to transportation LP problems, assignment problems are unique because
Answer
Selected Answer:

Both of the above
Correct Answer:

Both of the above
Question 18
5 out of 5 points
If we are solving a 0-1 integer programming problem, the constraint x1 = x2 is a
__________ constraint.
Answer
Selected Answer:

corequisite

Correct Answer:

corequisite

Question 19
5 out of 5 points
The Kirschner Company has a contract to produce garden hoses for a customer. Kirschner
has 5 different machines that can produce this kind of hose. Write a constraint to ensure
that if machine 4 is used, machine 1 will not be used.
Answer
Selected Answer:

Y
1
+ Y
4
1
Correct Answer:

Y
1
+ Y
4
1
Question 20
5 out of 5 points
The following table represents the cost to ship from Distribution Center 1, 2, or 3 to
Customer A, B, or C.




The constraint that represents the quantity supplied by DC 1 is:
Answer
Selected Answer:

X1A + X1B + X1C 500
Correct Answer:

X1A + X1B + X1C 500
Question 21
0 out of 5 points
The following table represents the cost to ship from Distribution Center 1, 2, or 3 to
Customer A, B, or C.



The constraint that represents the quantity demanded by Customer B is:
Answer
Selected Answer:

X1B + X2B + X3B 350
Correct Answer:

X1B + X2B + X3B = 350

Question 22
5 out of 5 points
Professor Truman would like to assign grades such that 10% of students receive As. If the
exam average is 62 with a standard deviation of 13, what grade should be the cutoff for an
A? (Round your answer.)
Answer
Selected Answer:

79
Correct Answer:

79
Question 23
5 out of 5 points
The metropolitan airport commission is considering the establishment of limitations on
noise pollution around a local airport. At the present time, the noise level per jet takeoff in
one neighborhood near the airport is approximately normally distributed with a mean of
100 decibels and a standard deviation of 3 decibels. What is the probability that a
randomly selected jet will generate a noise level of more than 105 decibels? Note: please
provide your answer to 2 places past the decimal point, rounding as appropriate.
Answer
Selected Answer:

0.05
Correct Answer:

0.05
Question 24
5 out of 5 points
A bakery is considering hiring another clerk to better serve customers. To help with this
decision, records were kept to determine how many customers arrived in 10-minute
intervals. Based on 100 ten-minute intervals, the following probability distribution and
random number assignments developed.











Suppose the next three random numbers were .18, .89 and .67. How many customers
would have arrived during this 30-minute period?
Answer
Selected Answer:

24
Correct Answer:

24
Question 25
5 out of 5 points
Consider the following graph of sales.



Which of the following characteristics is exhibited by the data?
Answer
Selected Answer:

Trend plus irregular
Correct Answer:

Trend plus irregular
Question 26
5 out of 5 points
__________ moving averages react more slowly to recent demand changes than do
__________ moving averages.
Answer
Selected Answer:

Longer-period, shorter-period
Correct Answer:

Longer-period, shorter-period
Number of
Arrivals
Probability
Random
numbers
6 .1 .01 - .10
7 .3 .11 - .40
8 .3 .41 - .70
9 . .71 - .90
10 .1 .91 - .00
Question 27
5 out of 5 points
In the Monte Carlo process, values for a random variable are generated by __________ a
probability distribution.
Answer
Selected Answer:

sampling from
Correct Answer:

sampling from
Question 28
0 out of 5 points
Joseph is considering pursuing an MS in Information Systems degree. He has applied to
two different universities. The acceptance rate for applicants with similar qualifications is
30% for University X and 60% for University Y. What is the probability that Jim will not
be accepted at either university? (Note: write your answer as a probability, with two
decimal places. If necessary, round to two decimal places. For instance, a probability of
0.252 should be written as 0.25).
Answer
Selected Answer:
.28
Correct Answer:
Evaluation Method Correct Answer Case Sensitivity
Exact Match
0.28
Question 29
5 out of 5 points
Nixons Bed and Breakfast has a fixed cost of $5000 per month and the revenue they
receive from each booked room is $200. The variable cost per room is $75. How many
rooms do they have to sell each month to break even? (Note: The answer is a whole
number. Give the answer as a whole number, omitting the decimal point. For instance,
use 12 for twelve rooms).
Answer
Selected Answer:
40
Correct Answer:
Evaluation Method Correct Answer Case Sensitivity
Exact Match
40
Question 30
5 out of 5 points
Carters Bed & Breakfast breaks even every month if they book 30 rooms over the course
of a month. Their fixed cost is $1050 per month and the revenue they receive from each
booked room is $150. What is the variable cost per occupied room? (Note: The answer is
a whole dollar amount. Give the answer as a whole number, omitting the decimal point.
For instance, use 105 to write $105.00).
Answer
Selected Answer:
115
Correct Answer:
Evaluation Method Correct Answer Case Sensitivity
Exact Match
115
Question 31
0 out of 5 points
Tracksaws, Inc. makes tractors and lawn mowers. The firm makes a profit of $30 on each
tractor and $30 on each lawn mower, and they sell all they can produce. The time
requirements in the machine shop, fabrication, and tractor assembly are given in the table.


Formulation:
Let x = number of tractors produced per period
y = number of lawn mowers produced per period
MAX 30x + 30y
subject to 2 x + y 60
2 x + 3y 120
x 45
x, y 0
The graphical solution is shown below.




What is the shadow price for fabrication? Write your answers with two significant places
after the decimal and do not include the dollar $ sign.

Answer
Selected Answer:
1350
Correct Answer:
Evaluation Method Correct Answer Case Sensitivity
Exact Match
7.50
Question 32
0 out of 5 points
Consider the following linear program, which maximizes profit for two products, regular
(R), and super (S):

MAX
50R + 75S
s.t.
1.2R + 1.6 S 600 assembly (hours)
0.8R + 0.5 S 300 paint (hours)
.16R + 0.4 S 100 inspection (hours)

Sensitivity Report:

Final Reduced Objective Allowable
Cell Name Value Cost Coefficient Increase
$B$7 Regular = 291.67 0.00 50 70
$C$7 Super = 133.33 0.00 75 50


Final Shadow Constraint Allowable
Cell Name Value Price R.H. Side Increase
$E$3 Assembly (hr/unit) 563.33 0.00 600 1E+30
$E$4 Paint (hr/unit) 300.00 33.33 300 39.29
$E$5 Inspect (hr/unit) 100.00 145.83 100 12.94

If downtime reduced the available capacity for painting by 40 hours (from 300 to 260
hours), profits would be reduced by __________. Write your answers with two significant
places after the decimal and do not include the dollar $ sign.

Answer
Selected Answer:
7.50
Correct Answer:
Evaluation Method Correct Answer Case Sensitivity
Exact Match
1333
Exact Match
1,333
Question 33
5 out of 5 points
Klein Kennels provides overnight lodging for a variety of pets. An attractive feature is the
quality of care the pets receive, including well balanced nutrition. The kennels cat food is
made by mixing two types of cat food to obtain the nutritionally balanced cat diet. The
data for the two cat foods are as follows:

Cat Food
Cost/o
z
protien
(%) fat (%)
Partner's Choice $0.20 45 20
Feline Excel $0.15 15 30

Klein Kennels wants to be sure that the cats receive at least 5 ounces of protein and at least
3 ounces of fat per day. What is the optimal cost of this plan? Note: Please write your
answers with two significant places after the decimal and do not include the dollar $
sign. For instance, $9.45 (nine dollars and fortyfive cents) should be written as 9.45

Answer
Selected Answer:
2.50
Correct Answer:
Evaluation Method Correct Answer Case Sensitivity
Exact Match
2.50
Question 34
5 out of 5 points
Find the optimal Z value for the following problem. Do not include the dollar $ sign with
your answer.

MAX Z = 5x1 + 8x2
s.t. x1 + x2 6
5x1 + 9x2 45
x1, x2 0 and integer
Answer
Selected Answer:
40
Correct Answer:
Evaluation Method Correct Answer Case Sensitivity
Exact Match
40
Question 35
5 out of 5 points
Suppose that x is normally distributed with a mean of 10 and a standard deviation of 3.
Find P(x 6). Note: Round your answer, if necessary, to two places after the decimal.
Please express your answer with two places after the decimal.
Answer
Selected Answer:
0.09
Correct Answer:
Evaluation Method Correct Answer Case Sensitivity
Exact Match
0.09
Question 36
0 out of 5 points
Mr. Sartre is considering four different opportunities, A, B, C, or D. The payoff for each
opportunity will depend on the economic conditions, represented in the payoff table below.


Investment
Economic Conditions
Poor
(S1)
Average
(S2)
Good
(S3)
Excellent
(S4)
A 38 25 33 10
B 10 15 20 85
C 20 100 20 -25
D 25 25 100 25


Suppose all states of the world are equally likely (each state has a probability of 0.25).
What is the expected value of perfect information? Note: Report your answer as an
integer, rounding to the nearest integer, if applicable
Answer
Selected Answer:
48
Correct Answer:
Evaluation Method Correct Answer Case Sensitivity
Exact Match
37
Question 37
5 out of 5 points
The local operations manager for the IRS must decide whether to hire 1, 2, or 3 temporary
workers. He estimates that net revenues will vary with how well taxpayers comply with the
new tax code. The probabilities of low, medium, and high compliance are 0.20, 0.30, and
0.50 respectively. What are the expected net revenues for the number of workers he will
decide to hire? The following payoff table is given in thousands of dollars (e.g. 50 =
$50,000). Note: Please express your answer as a whole number in thousands of dollars
(e.g. 50 = $50,000). Round to the nearest whole number, if necessary.




Answer
Selected Answer:
50
Correct Answer:
Evaluation Method Correct Answer Case Sensitivity
Exact Match
50
Question 38
5 out of 5 points
The local operations manager for the IRS must decide whether to hire 1, 2, or 3 temporary
workers. He estimates that net revenues will vary with how well taxpayers comply with the
new tax code. The probabilities of low, medium, and high compliance are 0.20, 0.30, and
0.50 respectively. What is the expected value of perfect information? Do not include the
dollar $ sign with your answer. The following payoff table is given in thousands of
dollars (e.g. 50 = $50,000). Note: Please express your answer as a whole number in
thousands of dollars (e.g. 50 = $50,000). Round to the nearest whole number, if
necessary.



Answer
Selected Answer:
26
Correct Answer:
Evaluation Method Correct Answer Case Sensitivity
Exact Match
26
Question 39
5 out of 5 points
The following sales data are available for 2003-2008 :

!ear "ales #ore$ast
003 7 7
004 8 8.5
00% 12 10.5
006 14 13
007 16 15
008 18 16

Calculate the MAPD and express it in decimal notation. Please express the result as a
number with 4 decimal places. If necessary, round your result accordingly. For instance,
9.14677, should be expressed as 9.1468
Answer
Selected Answer:
0.0800
Correct Answer:
Evaluation Method Correct Answer Case Sensitivity
Exact Match
0.0800
Question 40
5 out of 5 points
Consider the following decision tree. The objective is to choose the best decision among
the two available decisions A and B. Find the expected value of the best decision. Do not
include the dollar $ sign with your answer.
Answer
Selected Answer:
2100
Correct Answer:
Evaluation Method Correct Answer Case Sensitivity
Exact Match
2100
Exact Match
2,100
Wednesday, September 3, 2014 3:45:58 PM EDT