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CHAPTER 1
INTRODUCTION
1 Managers do not need to know the mathematical theory behind the techniques of management science in order to lead management science teams.
T
2 Management scientists are responsible for making the managerial decisions for an organization.
F
3 Once management makes its decisions, the management science team typically continues to work to implement the new plan.
T
4 At the break-even point, the fixed cost equals the variable cost.
F
5 Sensitivity analysis is used to check the effect on the recommendations of a model if the estimates turn out to be wrong.
T
6 Enlightened future managers do not need to know which of the following?
*a. How the models of management science are solved.
b. When management science can and cannot be applied.
c. How to apply the major techniques of management science.
d. How to interpret the results of a management science study.
e. None of the above.
7 Which of the following is not a component of a mathematical model for decision making?
a. Decision variables.
*b. A spreadsheet.
c. Constraints.
d. Parameters.
e. All of the above.
8 Which of the following is not a step taken in a typical management science study?
a. Define the problem and gather data.
b. Formulate a model.
c. Apply the model and develop recommendations.
d. Help to implement the recommendation.
*e. All of the above are typical steps in a management science study.
9 Which of the following is true at the break-even point?
a. The fixed cost equals the variable cost.
b. The production quantity equals the sales forecast.
*c. The company will neither make nor lose money on the product.
d. The profit equals the cost.
e. None of the above.
10 A constraint in a mathematical model is
a. a variable representing the decision to be made.
*b. an inequality or equation that restricts the values of the variables.
c. a measure of the performance of the model.
d. the sales forecast.
e. none of the above.
CHAPTER 1
INTRODUCTION
1 Managers do not need to know the mathematical theory behind the techniques of management science in order to lead management science teams.
T
2 Management scientists are responsible for making the managerial decisions for an organization.
F
3 Once management makes its decisions, the management science team typically continues to work to implement the new plan.
T
4 At the break-even point, the fixed cost equals the variable cost.
F
5 Sensitivity analysis is used to check the effect on the recommendations of a model if the estimates turn out to be wrong.
T
6 Enlightened future managers do not need to know which of the following?
*a. How the models of management science are solved.
b. When management science can and cannot be applied.
c. How to apply the major techniques of management science.
d. How to interpret the results of a management science study.
e. None of the above.
7 Which of the following is not a component of a mathematical model for decision making?
a. Decision variables.
*b. A spreadsheet.
c. Constraints.
d. Parameters.
e. All of the above.
8 Which of the following is not a step taken in a typical management science study?
a. Define the problem and gather data.
b. Formulate a model.
c. Apply the model and develop recommendations.
d. Help to implement the recommendation.
*e. All of the above are typical steps in a management science study.
9 Which of the following is true at the break-even point?
a. The fixed cost equals the variable cost.
b. The production quantity equals the sales forecast.
*c. The company will neither make nor lose money on the product.
d. The profit equals the cost.
e. None of the above.
10 A constraint in a mathematical model is
a. a variable representing the decision to be made.
*b. an inequality or equation that restricts the values of the variables.
c. a measure of the performance of the model.
d. the sales forecast.
e. none of the above.
CHAPTER 1
INTRODUCTION
1 Managers do not need to know the mathematical theory behind the techniques of management science in order to lead management science teams.
T
2 Management scientists are responsible for making the managerial decisions for an organization.
F
3 Once management makes its decisions, the management science team typically continues to work to implement the new plan.
T
4 At the break-even point, the fixed cost equals the variable cost.
F
5 Sensitivity analysis is used to check the effect on the recommendations of a model if the estimates turn out to be wrong.
T
6 Enlightened future managers do not need to know which of the following?
*a. How the models of management science are solved.
b. When management science can and cannot be applied.
c. How to apply the major techniques of management science.
d. How to interpret the results of a management science study.
e. None of the above.
7 Which of the following is not a component of a mathematical model for decision making?
a. Decision variables.
*b. A spreadsheet.
c. Constraints.
d. Parameters.
e. All of the above.
8 Which of the following is not a step taken in a typical management science study?
a. Define the problem and gather data.
b. Formulate a model.
c. Apply the model and develop recommendations.
d. Help to implement the recommendation.
*e. All of the above are typical steps in a management science study.
9 Which of the following is true at the break-even point?
a. The fixed cost equals the variable cost.
b. The production quantity equals the sales forecast.
*c. The company will neither make nor lose money on the product.
d. The profit equals the cost.
e. None of the above.
10 A constraint in a mathematical model is
a. a variable representing the decision to be made.
*b. an inequality or equation that restricts the values of the variables.
c. a measure of the performance of the model.
d. the sales forecast.
e. none of the above.
1 Linear programming problems may have only one goal or objective specified. T 2 A feasible solution is one that satisfies at least one of the constraints of a linear programming problem. F 3 The cell containing the measure of performance is referred to as a changing cell. F 4 A linear programming problem can have only one optimal solution. F 5 When solving a maximization problem graphically, it is generally the goal to move the objective function line in, toward the origin, as far as possible. F 6 In a linear programming spreadsheet model, the output cells can typically be expressed as a SUMPRODUCT function. T 7 Changing only the right-hand side of a constraint creates parallel constraint boundary lines. T 8 The Make Variables Nonnegative option assures that the objective cell will remain nonnegative. F 9 Which of the following is a component of a linear programming model? a. Constraints. b. Decision variables. c. Parameters. d. An objective. *e. All of the above. 10 Which of the following are not types of cells in a linear programming spreadsheet model? a. Changing cells b. Target cell c. Output cells *d. Input cells e. Data cells 11 For the products x and y, which of the following could be a linear programming objective function? *a. C = x + 2y. b. C = x+ 2xy. c. C = x - 2(y-squared). d. C = x + 2x/y. e. All of the above. 12 Which of the following is not a step in the graphical method: a. Draw the constraint boundary line for each functional constraint. b. Find the feasible region. c. Determine the slope of one objective function line. d. Find the optimal solution using a straight-edge. *e. All of the above are steps in the graphical method. 13 Given the following 2 constraints, which solution is a feasible solution for a maximization problem? (1) 4 X1 + 3 X2 <= 18 (2) X1 - X2 <= 3
a. (X1 , X2 ) = (1, 5). b. (X1 , X2 ) = (4, 1). c. (X1 , X2 ) = (4, 0). *d. (X1 , X2 ) = (2, 1). e. (X1 , X2 ) = (2, 4). 14 What is the cost of the optimal solution for the following problem? Minimize C = 3x + 15y subject to 2x + 4y >= 12 5x + 2y >= 10 and x >= 0, y >= 0.
a. 0. b. 3. c. 15. *d. 18. e. 21. 15 A local bagel shop produces bagels (B) and croissants (C). Each bagel requires 6 ounces of flour, 1 gram of yeast, and 2 tablespoons of sugar. A croissant requires 3 ounces of flour, 1 gram of yeast, and 4 tablespoons of sugar. The company has 6,600 ounces of flour, 1,400 grams of yeast, and 4,800 tablespoons of sugar available for today's baking. Bagel profits are 20 cents each and croissant profits are 30 cents each. What is the objective function? a. 2B + 4C <= 4,800. b. (B, C) = (0, 1400). *c. P = 0.2B + 0.3C. d. $340. e. None of the above.