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Business Process Management Exam Materials - 2419 Verified Questions

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Business Process Management

Exam Materials

Course Introduction

Business Process Management (BPM) explores the systematic approach to making an organization's workflow more efficient, effective, and adaptable to changes in the business environment. This course covers the identification, modeling, analysis, design, implementation, monitoring, and optimization of business processes. Students will learn to use various BPM methodologies and tools to map, evaluate, and improve business activities, aiming for enhanced productivity and competitiveness. Emphasis is placed on process modeling languages such as BPMN, best practices for process automation, and the alignment of business processes with organizational strategy. Case studies and practical exercises will enable students to apply BPM concepts to real-world scenarios across diverse industries.

Recommended Textbook

Operations Management 12th Edition by William J. Stevenson

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25 Chapters

2419 Verified Questions

2419 Flashcards

Source URL: https://quizplus.com/study-set/2978

Page 2

Chapter 1: Introduction to Operations Management

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74 Verified Questions

74 Flashcards

Source URL: https://quizplus.com/quiz/59218

Sample Questions

Q1) Which of the following is not an ongoing trend in manufacturing?

A) globalization

B) quality improvement

C) flexibility and agility

D) mass production for greater economies of scale

E) technological advances

Answer: D

Q2) One concern in the design of production systems is the degree of standardization.

A)True

B)False

Answer: True

Q3) Knowledge skills usually don't include:

A) process knowledge.

B) accounting skills.

C) communication skills.

D) global knowledge.

E) financial skills.

Answer: C

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Page 3

Chapter 2: Competitiveness, Strategy, and Productivity

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72 Verified Questions

72 Flashcards

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Sample Questions

Q1) Government statistics are a good source of data about productivity trends in the service sector.

A)True

B)False

Answer: False

Q2) Which of the following would be least important in the pursuit of a time-based strategy?

A) cost minimization

B) quick changeover times

C) operational agility

D) reduced complaint resolution times

E) flexible technology

Answer: A

Q3) Wage and salary increases that are not accompanied by productivity increases tend to exert inflationary pressures on a nation's economy.

A)True

B)False

Answer: True

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4

Chapter 3: Forecasting

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164 Verified Questions

164 Flashcards

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Sample Questions

Q1) A moving average forecast tends to be more responsive to changes in the data series when more data points are included in the average.

A)True

B)False

Answer: False

Q2) The two general approaches to forecasting are:

A) mathematical and statistical.

B) qualitative and quantitative.

C) judgmental and qualitative.

D) historical and associative.

E) precise and approximation.

Answer: B

Q3) Which of the following would tend to decrease forecast accuracy?

A) a reduction in demand variability

B) a shortening of the forecast time horizon

C) an attempt to forecast demand for a group of similar items rather than an individual item

D) a change in the underlying causal system

Answer: D

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Page 5

Chapter 4: Product and Service Design

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76 Verified Questions

76 Flashcards

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Sample Questions

Q1) A house of quality is achieved when no department in a single location has more than 15 percent rejects.

A)True

B)False

Q2) Concurrent engineering brings people concerned with manufacturing into the design phase earlier than in the "over-the-wall" approach.

A)True

B)False

Q3) The process of dismantling and inspecting a competitor's product to discover improvements is called reverse engineering.

A)True

B)False

Q4) To save money, it is essential that designers revise the production capabilities to meet the requirements of the new products.

A)True B)False

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Page 6

Chapter 4: Extension: Reliability

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12 Flashcards

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Sample Questions

Q1) Product reliability involves both short-term and long-term perspectives.

A)True

B)False

Q2) A system consists of two components, each of which must activate if the system is to activate. One component has a reliability of .99. The other has a reliability of .95. The components are independent of one another with respect to reliability. What is the overall system reliability?

A) .99

B) .95

C) .94

D) .90

E) Cannot be determined with this information.

Q3) If a system depends on two subsystems functioning when activated, the reliability of that system is equal to that of the less reliable subsystem.

A)True

B)False

Q4) Availability cannot be increased without improving the time between breakdowns.

A)True

B)False

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Chapter 5: Strategic Capacity Planning for Products and Services

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106 Flashcards

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Sample Questions

Q1) Given the following information, what would efficiency be? Effective capacity = 50 units per day

Design capacity = 100 units per day

Actual output = 30 units per day

A) 40 percent

B) 50 percent

C) 60 percent

D) 80 percent

E) 90 percent

Q2) At the break-even point:

A) output equals capacity.

B) total cost equals total revenue.

C) total cost equals profit.

D) variable cost equals fixed cost.

E) variable cost equals total revenue.

Q3) Increasing productivity and also quality will result in increased capacity.

A)True

B)False

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Chapter 5: Extension: Decision Theory

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123 Flashcards

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Sample Questions

Q1) The operations manager for a local bus company wants to decide whether he should purchase a small, medium, or large new bus for his company. He estimates that the annual profits (in $000) will vary depending upon whether passenger demand is low, medium, or high, as follows: \[\begin{array} { | l | l | l | l | }

\hline \text { Bus } & { \text { DEMAND } } \\

\hline & \text { LOW } & \text { MEDIUM } & \text { HIGH } \\

\hline \text { Small } & 50 & 60 & 70 \\

\hline \text { Medium } & 40 & 80 & 90 \\

\hline \text { Large } & 20 & 50 & 120 \\

\hline

\end{array}\] If he uses the Laplace criterion, which size bus will he decide to purchase?

A) small

B) medium

C) large

D) either small or medium

E) either medium or large

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9

Chapter 6: Process Selection and Facility Layout

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150 Flashcards

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Sample Questions

Q1) Which phrase most closely describes flexible manufacturing systems?

A) a variation of CAD

B) a more fully automated version of cellular manufacturing

C) manufacturing resource planning

D) a process layout with a manufacturing overlay

E) an approach that allows workers to begin work at a time of their choosing

Q2) The main issue in the design of process layouts concerns the relative positioning of the departments involved.

A)True

B)False

Q3) Avoiding bottlenecks is the primary goal of product design.

A)True

B)False

Q4) Which of the following is not a primary concern for process selection?

A) variety in products/services

B) flexibility of equipment

C) volume of output

D) pricing strategy

E) changeover costs

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Chapter 7: Work Design and Measurement

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151 Verified Questions

151 Flashcards

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Sample Questions

Q1) A job had an observed cycle time of four minutes, a performance rating of 80 percent, and an allowance factor that was 20 percent of job time. Normal time for the job in minutes is:

A) 3.20.

B) 3.84.

C) 4.00.

D) 4.80.

E) 5.00.

Q2) The symbols for operation, storage, transportation, inspection, and delay would usually be found on which type of chart?

A) flow process

B) Gantt

C) simultaneous motion

D) worker-machine

E) delay analysis

Q3) Ergonomics is the use of computers and robots in the workplace.

A)True

B)False

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11

Chapter 7: Extension: Learning Curves

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68 Flashcards

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Sample Questions

Q1) A company is preparing a bid on a government contract for 40 units of a certain product. The operations manager estimates the assembly time required for the first two units to be 10.4 hours and 8.8 hours. Approximately how long will it take to produce the 25<sup>th</sup> through 30<sup>th</sup> units?

A) 23 hours

B) 49 hours

C) 29 hours

D) 38 hours

E) It is impossible to say without additional information.

Q2) Learning curves are used primarily for mass production applications.

A)True

B)False

Q3) When the task is fairly complex and has a longer duration, it will take a larger number of repetitions before improvement is observed.

A)True

B)False

Q4) Negotiated purchasing results in lower unit costs for smaller quantities.

A)True

B)False

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Chapter 8: Location Planning and Analysis

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80 Verified Questions

80 Flashcards

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Sample Questions

Q1) A location analysis has been narrowed down to three locations. The critical factors, their weights, and the ratings for each location are shown below: \[\begin{array} {c} \quad\quad\quad\quad\quad\quad\quad\quad{ \text { Location } } \\

\begin{array} { l c c c c }

\text { Factor } &\text { Wt. } & \text { A } & \text { B } & \text { C } \\

\hline \text { Labor Cost } & .4 & 70 & 80 & 90 \\

\text { Transportation Cost } & .2 & 80 & 80 & 60 \\

\text { Market Access } & .2 & 90 & 70 & 60 \\

\text { Raw Materials Cost } & .1 & 50 & 70 & 90 \\

\text { Utility Cost } & .1 & 80 & 90 & 70

\end{array}\end{array}\] If the decision rule is to select the location with the greatest composite score exceeding 80, management should choose:

A) location A.

B) location B.

C) location C.

D) either location B or location C.

E) to reject all locations.

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Chapter 8: Extension: The Transportation Model

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20 Verified Questions

20 Flashcards

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Sample Questions

Q1) Which of the following are assumptions or requirements of the transportation method?

(I) Goods are the same, regardless of source.

(II) There must be multiple sources.

(III) Minimum quantities must be shipped from each source.

(IV) Shipping costs per unit do not vary with the quantity shipped.

A) I and IV

B) II and III

C) I, II, and IV

D) I and III

E) I, II, III, and IV

Q2) The transportation model assumes shipping cost per unit is the same regardless of the number of units shipped (there are no quantity discounts).

A)True

B)False

Q3) The transportation model assumes similar, homogeneous goods.

A)True

B)False

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14

Chapter 9: Management of Quality

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102 Verified Questions

102 Flashcards

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Sample Questions

Q1) Juran describes quality management as a trilogy that consists of quality planning, control of quality costs, and quality improvement.

A)True

B)False

Q2) Management behaviors supporting an organizational culture that encourages continuous improvement include which of the following?

(I) Develop a vision statement for the organization.

(II) Develop a reward system that promotes the philosophy.

(III) Institute continuous training programs.

(IV) Make decisions that adhere to the philosophy.

A) I, II, and IV

B) I, II, III, and IV

C) I and III

D) II, III, and IV

E) II and IV

Q3) Crosby's concept of "quality is free" means that it is less expensive to do it right initially than to do it over.

A)True

B)False

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Page 15

Chapter 10: Quality Control

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141 Verified Questions

141 Flashcards

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Sample Questions

Q1) Control limits used on process control charts are specifications established by design or customers.

A)True

B)False

Q2) A c-chart is used for:

A) means.

B) ranges.

C) percent defective.

D) fraction defective per unit.

E) number of defects per unit.

Q3) Given the following process control data for a quality attribute (three samples of size 400 each): \[\begin{array} { l r }

\text { Sample } & \text { Defectives } \\

\hline \# 1 & 36 \\

\# 2 & 32 \\

\# 3 & 52

\end{array}\] If the process is known to produce 11 percent defectives on average, what is the mean of the sampling distribution of sample proportions for whenever this process is under control? The standard deviation?

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Page 16

Chapter 10: Extension: Acceptance Sampling

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65 Verified Questions

65 Flashcards

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Sample Questions

Q1) Which one of the following would not be a reason for using acceptance sampling?

A) high cost of passing defectives

B) large number of items

C) destructive testing

D) boredom and fatigue that would accompany complete inspection

E) low cost of passing defectives

Q2) An AOQ curve shows:

A) the maximum quality.

B) average outgoing quality relative to incoming quality.

C) how well a sampling plan can discriminate between good and bad lots.

D) the actual quality level.

E) "good" quality.

Q3) Acceptance sampling is applied to batches of items during the production process.

A)True

B)False

Q4) Suppose we have a lot of several thousand units of a finished good. If n = 20 and c = 2, what is the probability that, if this lot were 5 percent defective, it would be rejected and completely inspected prior to shipment? 10 percent defective? 15 percent? 20 percent?

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Chapter 11: Aggregate Planning and Master Scheduling

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88 Verified Questions

88 Flashcards

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Sample Questions

Q1) Uncommitted inventory is called:

A) available-to-promise inventory.

B) free inventory.

C) safety stock.

D) lead time inventory.

E) obsolete inventory.

Q2) Which of the following is not a basic option for altering the availability of capacity in a service environment?

A) overtime

B) hiring/layoff

C) part time

D) inventory

E) All of the choices are options.

Q3) What quantity is available for commitment to new customers in either of the first two periods?

A) 21

B) 1

C) 20

D) 4

E) impossible to say without more information

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Chapter 12: MRP and ERP

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89 Verified Questions

89 Flashcards

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Sample Questions

Q1) The bill of materials contains information on lead times and current inventory position on every component required to produce the end item.

A)True

B)False

Q2) In MRP, scheduled receipts are:

A) identical to planned-order receipts.

B) identical to planned-order releases.

C) open orders (that is, ordered before the first time bucket, but not delivered yet).

D) net requirements.

E) available-to-promise inventory.

Q3) The gross requirements at one level of an MRP plan determine the gross requirements at the next lower level continuing on down to the lowest levels shown on the bill of material.

A)True

B)False

Q4) MRP II did not replace or improve the basic MRP.

A)True

B)False

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Chapter 13: Inventory Management

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161 Verified Questions

161 Flashcards

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Sample Questions

Q1) In the basic EOQ model, if D = 60 per month, S = $12, and H = $10 per unit per month, EOQ is:

A) 10.

B) 12.

C) 24.

D) 72.

E) 144.

Q2) Given the following information:

Order quantity = 300; \(\sigma _ { d L T }\) = 20 units; desired lead time service level = .86.

Find:

(A) the expected number of units short per cycle

(B) the annual service level

Q3) The purpose of cycle counting is to:

A) count all the items in inventory.

B) count bicycles and motorcycles in inventory.

C) reduce discrepancies between inventory records and actual quantities.

D) reduce theft.

E) count 10 percent of the items each month.

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Page 20

Chapter 14: Jit and Lean Operations

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87 Flashcards

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Sample Questions

Q1) Although inventories are maintained, the goal of lean operations is to minimize safety stock.

A)True

B)False

Q2) A lean-systems method of asking questions about a process is the __________ approach.

A) jidoka

B) 3 kanban

C) heijunka

D) 2 kaizen

E) 5W2H

Q3) In lean operations, when work is completed at one work center, it is important to immediately move the completed work to the next work center to minimize idle time.

A)True

B)False

Q4) In lean operations, a responsibility of the cross-trained worker is to check the quality of the work of others.

A)True

B)False

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Chapter 14: Extension: Maintenance

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38 Flashcards

Source URL: https://quizplus.com/quiz/59199

Sample Questions

Q1) Suppose that for a particular piece of machinery, the frequency distribution of monthly breakdowns is as follows: \[\begin{array} { c c }

\text { Number of Breakdowns } & \text { Prob. } \\

\hline 0 & 0.40 \\

1 & 0.30 \\

2 & 0.15 \\

3 & 0.10 \\

4 & 0.05

\end{array}\] The cost of a breakdown is $2,000, and the cost of a preventive maintenance program is $2,000 per month. If the preventive maintenance program is adopted, the probability of a machine breakdown is negligible. How much better off per month would the firm be if it adopted preventive maintenance?

A) $100 worse off

B) $200 worse off

C) $100 better off

D) $200 better off

E) $2,000 better off

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Chapter 15: Supply Chain Management

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89 Verified Questions

89 Flashcards

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Sample Questions

Q1) The automatic identification of material is part of/facilitated by:

A) holding costs.

B) RFID.

C) working capital reduction.

D) net present value calculations.

E) vendor analysis.

Q2) One disadvantage to RFID is that it requires a clear "line of sight" to operate.

A)True

B)False

Q3) RFID chips:

(I) are used to track goods in distribution.

(II) are used to track job progress in production.

(III) are used to provide special instructions to operators.

(IV) can be used in inventory record keeping.

A) II and III only

B) I and II only

C) II, III, and IV

D) I, II, and IV

E) IV only

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Page 23

Chapter 16: Scheduling

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134 Flashcards

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Sample Questions

Q1) The owner/operator of the local franchise of Handyman, Inc., has four jobs to do today, shown in the order they were received: \[\begin{array} { l c c }

\text { Job } & \text { Processing } & \text { Due } \\ \text { Time (hrs) } & \text { (hrs from now) } \\

\hline \mathrm { W } & 4 & 4 \\ \mathrm { X } & 3 & 5 \\ \mathrm { Y } & 2 & 2 \\ \mathrm { Z } & 1 & 1

\end{array}\] If he uses the earliest due date first priority rule to schedule these jobs, what will be the average job tardiness?

A) 0 hours

B) 1.5 hours

C) 1.75 hours

D) 2 hours

E) 2.25 hours

Q2) If optimal sequencing through three work centers is desired, Johnson's rule II is used rather than Johnson's rule.

A)True

B)False

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Page 24

Chapter 17: Project Management

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137 Flashcards

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Sample Questions

Q1) Consider the following work breakdown structure: \[\begin{array}{r}

\text { Duration Estimates (Days) }\quad\quad\quad\\

\begin{array} { l c c c c }

\text { Activity } & \text { Precedes } & \text { Optimistic } & \text { Most Likely } & \text { Pessimistic } \\

\hline \text { Start } & \text { U, V } & - & - & - \\

\text { U } & \text { W } & 35 & 50 & 65 \\

\text { V } & \text { W, X } & 28 & 40 & 52 \\

\text { W } & \text { Z } & 26 & 35 & 44 \\

\text { X } & \text { Y } & 28 & 40 & 52 \\

\text { Y } & \text { Z } & 26 & 29 & 38 \\

\text { Z } & \text { End } & 36 & 60 & 84

\end{array}

\end{array}\] What is the estimated slack time for activity W?

A) 0 days

B) 25 days

C) 35 days

D) 45 days

E) 85 days

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Chapter 18: Management of Waiting Lines

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81 Flashcards

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Sample Questions

Q1) A single-channel queuing system has an average service time of eight minutes and an average time between arrivals of 10 minutes. The arrival rate is:

A) 6 per hour.

B) 7.5 per hour.

C) 8 per hour.

D) 10 per hour.

E) 12.5 per hour.

Q2) Which of the following would reduce perceived waiting times most dramatically in a doctor's office?

A) putting all clocks out of sight

B) removing couches

C) having the patient fill out forms

D) implementing a "no-cell-phone" policy

E) keeping expected waiting times from the patients

Q3) Queue discipline requires a security presence to maintain order.

A)True

B)False

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26

Chapter 19: Linear Programming

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111 Flashcards

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Sample Questions

Q1) The equation 3xy = 9 is linear.

A)True

B)False

Q2) The owner of Crackers, Inc., produces two kinds of crackers: Deluxe (D) and Classic (C). She has a limited amount of the three ingredients used to produce these crackers available for her next production run: 4,800 ounces of sugar; 9,600 ounces of flour, and 2,000 ounces of salt. A box of Deluxe crackers requires 2 ounces of sugar, 6 ounces of flour, and 1 ounce of salt to produce; while a box of Classic crackers requires 3 ounces of sugar, 8 ounces of flour, and 2 ounces of salt. Profits for a box of Deluxe crackers are $.40; and for a box of Classic crackers, $.50. For the production combination of 800 boxes of Deluxe and 600 boxes of Classic, which resource is slack (not fully used)?

A) sugar (only)

B) flour (only)

C) salt (only)

D) sugar and flour

E) sugar and salt

Q3) An objective function represents a family of parallel lines.

A)True

B)False

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