Question
1. Which of the following statements regarding project management is false ?
Project organization works well when the work contains simple, independent tasks.
Gantt charts give a timeline for each of a project's activities, but do not adequately show the interrelationships of activities.
Project organization is most suitable for projects that are temporary but critical to the organization.
All of the above are true.
None of the above are true.
2. Which of the following statements regarding Gantt charts is true ?
Gantt charts are visual devices that show the duration of activities in a project.
Gantt charts give a timeline and precedence relationships for each activity of a project.
Gantt charts use the four standard spines of Methods, Materials, Manpower, and Machinery.
Gantt charts are expensive.
All of the above are true.
3. Which of the following statements regarding PERT times is true ?
Optimistic time estimate is an estimate of the minimum time an activity will require.
Optimistic time estimate is an estimate of the maximum time an activity will require.
The probable time estimate is calculated as t = (a + 4m + b)/6.
Pessimistic time estimate is an estimate of the minimum time an activity will require.
Most likely time estimate is an estimate of the maximum time an activity will require.
4. Which of the following statements regarding critical paths is true ?
The shortest of all paths through the network is the critical path.
Some activities on the critical path may have slack.
Every network has exactly one critical path.
On a specific project, there can be multiple critical paths, all with exactly the same duration.
The duration of the critical path is the average duration of all paths in the project network.
5. Which of the following statements regarding CPM is false ?
The critical path is the shortest of all paths through the network.
The critical path is that set of activities that has positive slack.
Some networks have no critical path.
All activities on the critical path have their LS equal EF.
All of the above are false.
6. Which of the following statements concerning CPM activities is false ?
The late finish of an activity is the earliest late start of all preceding activities.
The early finish of an activity is the early start of that activity plus its duration.
The late finish is the earliest of the late start times of all successor activities.
The late start of an activity is its late finish less its duration.
The early start of an activity is the latest early finish of all preceding activities.
7. Which of the following statements regarding CPM networks is true ?
The early finish of an activity is the latest early start of all preceding activities.
The late finish of an activity is the earliest late start of all preceding activities.
On a specific project, there can be multiple critical paths, all of which will have exactly the same duration.
A project does not have to have a critical path.
All of the above are true.
8. Activities that are not on a PERT critical path but have little slack need to be monitored closely because
PERT treats all activities as equally important
near-critical paths could become critical paths with small delays in these activities
they are causing the entire project to be delayed
slack is undesirable and needs to be eliminated
they have a high risk of not being completed
9. Which of the following statements regarding project management is true ?
Both PERT and CPM require that network tasks have unchanging durations.
Shortening the project by assigning more resources to one or more of the critical tasks is called "project crashing."
Crashing need not consider the impact of crashing an activity on other paths in the network.
Project crashing is an optimizing technique.
Crash cost depends upon the variance of the activity to be crashed.
10. Which of these statements regarding time-cost tradeoffs in CPM networks is true ?
Crashing is not possible unless there are multiple critical paths.
Crashing a project often reduces the length of long-duration, but non-critical, activities.
Activities not on the critical path can never be on the critical path, even after crashing.
Crashing shortens the project duration by assigning more resources to one or more of the critical tasks.
None of the above.
11. Which of the following statements regarding time-cost tradeoffs in CPM networks is false ?
Shortening the project duration by assigning more resources to one or more of the critical tasks is called "project crashing."
Crashing procedures must consider the impact of crashing an activity on all paths in the network.
Crashing sometimes has the reverse result of lengthening the project duration.
Activities not on the critical path can become critical after crashing takes place.
All of the above are true.
12. Which of the following statements regarding project management is false ?
Project management differs from the management of more traditional activities due to the limited lifetime of projects.
Dummy activities are added to paths to make all paths of equal length, analogous to adding slack variables in linear programming.
A Gantt chart contains no precedence relationships, but may be useful for simple projects.
Dummy activities consume no time.
Slack is the amount of time an activity can be delayed without delaying the entire project, assuming its preceding activities are completed as early as possible.
13. Which of the following statements regarding time-cost tradeoffs in CPM networks is true ?
Crashing shortens the critical path by assigning more resources to one or more non-critical tasks.
Crashing is not possible unless there are multiple critical paths.
Crashing a project reduces the length of critical activities only.
Project crashing is not effective when applied to tasks with zero slack.
All of the above are false.
22. The layout strategy that deals with low-volume, high-variety production is
fixed-position layout
retail/service layout
warehouse layout
all of the above
none of the above
23. A good layout requires determining
capacity and space requirements
material handling requirements
environment and aesthetics
flows of information
all of the above
24. For which of the following operations would a fixed-position layout be most appropriate?
assembly of an automobile
production of cameras and TV sets
construction of a ship
refining of crude oil
grocery store
25. The type of layout which features departments or other functional groupings in which similar activities are performed is
process
product
fixed-position
mass
unit
26. A process layout would be most appropriate in which of the following cases?
constructing a Boeing 777 aircraft
a gourmet restaurant
a fast-food restaurant
an automobile factory
a steel mill
27. The major problem addressed by the process-oriented layout strategy is
the movement of material to the limited storage areas around the site
minimizing difficulties caused by material flow varying with each product
requiring frequent contact close to one another
the provision of low-cost storage with low-cost material handling
balancing product flow from one work station to the next
28. Which of the following is true for process layouts, but false for product layouts?
low in-process inventories
low variety of products
high volume of output
often solved by assembly line balancing
flexibility in equipment and labor assignments
29. A process-oriented layout is best suited for
the assembly of products like automobiles and appliances
the mass production of uniform products
low-volume, high-variety production
high-volume, low-variety production
construction of a ship
30. According to Heizer and Render, an office layout
groups workers, their equipment, and spaces/offices to provide for movement of information
addresses the layout requirements of large, bulky projects such as ships and buildings
seeks the best personnel and machine utilization in repetitive or continuous production
allocates shelf space and responds to customer behavior
deals with low-volume, high-variety production
31. Which of the following is true of a focused factory ?
They may be focused in ways other than by product or layout.
They may be focused only by processing requirements.
They are much like a product facility within an otherwise process facility.
All of the above are true.
None of the above are true.
32. Which of the following constitutes a major trend influencing office layouts?
downsizing
globalization
virtual companies
environmental issues
health issues
33. According to Heizer and Render, a retail/service layout
groups workers, their equipment, and spaces/offices to provide for movement of information
addresses the layout requirements of large, bulky projects such as ships and buildings
seeks the best personnel and machine utilization in repetitive or continuous production
allocates space and responds to customer behavior
deals with low-volume, high-variety production
34. Balancing low-cost storage with low-cost material handling is important in
a fixed-position layout
a process-oriented layout
an office layout
a product-oriented layout
a warehouse layout
35. Which of the following does not support the retail layout objective of maximizing customer exposure to products?
locate high-draw items around the periphery of the store
use prominent locations for high-impulse and high-margin items
maximize exposure to expensive items
distribute "power items" to both sides of the aisle
convey the store's mission with the careful positioning of the lead-off department
36. Which type of layout is used to achieve a smooth and rapid flow of large volumes of output?
process
batch
product
unit
fixed-position
37. Which of the following are strongly associated with "crossdocking"?
non-value-adding activities such as receiving and storing
multi-modal transportation facilities at seaports
processing items as soon as they are received into a distribution center
use of manual product identification systems
all of the above
38. A major assumption of stability of demand is important for justifying which of the following layout types?
product layout
process layout
fixed-position layout
all of the above
none of the above
39. The main advantage of a product-oriented layout is typically
low raw material cost
employability of highly skilled labor
low capital cost
low variable cost per unit
high flexibility
40. In a product layout the process of deciding how to assign tasks to work stations is referred to as
process balancing
task allocation
line balancing
work allocation
station balancing
41. In assembly line balancing, cycle time (the ratio of production time to demand), is
the maximum time that a product is available at each work station
the minimum time that a product is available at each work station
the optimum time that a product is available at each work station
the desired cycle time that a product is available at each work station
all of the above
42. In assembly line balancing, the minimum number of workstations is
the ratio of the sum of all task times to cycle time
the ratio of demand times sum of task times to production time per day
is always rounded upward to the next larger integer value
all of the above
none of the above
43. Cycle time is computed as
daily operating time divided by the desired output
desired output divided by the daily operating time
daily operating time divided by the product of desired output and the sum of job times
the product of desired output and the sum of job times divided by daily operating time
1.00 minus station time
44. Daily capacity of a product layout is determined by
cycle time divided by operating time
operating time divided by cycle time
operating time divided by total task time
total task time divided by cycle time
cycle time divided by total task time
1. Which of the following is not needed in order to use the transportation model?
a. the source points and their capacity
b. the destination points and their demand
c. the cost of shipping one unit from each source to each destination
fixed costs of source points
all of the above are needed
2. The purpose of the transportation approach for locational analysis is to minimize
the number of shipments
3. A transportation problem consists of 8 points of origin and 6 destinations. The number of possible routes for this problem is
2
14
48
4. The transportation method is a special case of the family of problems known as
linear programming problems
decision tree problems
5. The initial solution to a transportation problem can be generated in any manner, so long as
all supply and demand are satisfied
6. Which of the following statements about the northwest corner rule is false?
One must exhaust the supply for each row before moving down to the next row.
One must exhaust the demand requirements of each column before moving to the next column.
When moving to a new row or column, one must select the cell with the lowest cost.
All of the above are false.
7. For the problem data set below, what is the northwest corner allocation to the cell Source 1-Destination 1?
Data
COSTS
Dest. 1
Dest. 2
Dest. 3
Supply
Source 1
2
1
3
30
Source 2
4
2
1
40
Source 3
3
8
6
20
Demand
15
50
25
90 / 90
15
8. In transportation model analysis the stepping-stone method is used to
9. For the problem data set below, what is the northwest corner allocation to the cell Source 1 -Destination 2?
Data
COSTS
Dest. 1
Dest. 2
Dest. 3
Supply
Source 1
2
1
3
30
Source 2
4
2
1
40
Origin 3
3
8
6
20
Demand
15
50
25
90 / 90
15
25
10. For the problem data set below, what is the northwest corner allocation to the cell Source 3-Destination 3?
Data
COSTS
Dest. 1
Dest. 2
Dest. 3
Supply
Source 1
2
1
3
30
Source 2
4
2
1
40
Source 3
3
8
6
20
Demand
15
50
25
90 / 90
11. A transportation problem has a feasible solution when
12. When the number of shipments in a feasible solution is less than the number of rows plus the number of columns minus one
13. The total cost of the optimal solution to a transportation problem
14. The stepping-stone method
15. In a minimization problem, a negative improvement index in a cell indicates that the
16. In a minimization problem, a positive improvement index in a cell indicates that
17. An improvement index indicates
Inv12
1. Which of the following is a reason for holding inventory?
to meet customer demand
to protect against shortages
to decouple production from distribution
to allow for smooth and flexible operations
all of the above are motives for holding inventory
2. Which of the following statements about ABC analysis is false ?
ABC analysis is based on the presumption that controlling the few most important items produces the vast majority of inventory savings.
In ABC analysis, "A" Items are tightly controlled, have accurate records, and receive regular review by major decision makers.
ABC analysis is based on the presumption that all items must be tightly controlled to produce important cost savings.
In ABC analysis, "C" Items have minimal records, periodic review, and simple controls
None of the above statements are true.
3. ABC analysis is based upon the principle that
all items in inventory must be monitored very closely
an item is critical if its usage is high
there are usually a few critical items, and many items which are less critical
the safety stock (in terms of volume) should be higher for A items than for C items
an item is critical if its unit price is high
4. Cycle counting
provides a measure of inventory accuracy
provides a measure of inventory turnover
assumes that all inventory records must be verified with the same frequency
is a process by which inventory records are verified once a year
assumes that the most frequently used items must be counted more frequently
5. Among the advantages of cycle counting is that it
makes the annual physical inventory more acceptable to management
allows more rapid identification of errors and consequent remedial action than is possible with annual physical inventory
does not require the detailed inventory records necessary when annual physical inventory is used
does not require highly trained people
does not need to be performed for less expensive items
6. The two most basic inventory questions answered by the typical inventory model are
timing and cost of orders
quantity and cost of orders
timing and quantity of orders
order quantity and service level
ordering cost and carrying cost