MGS3100 Sample Final 090310

MGS3100 Sample Final 090310 - Sample Exam Instructor's Name...

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Sample Exam Instructor's Name Sample Exam Sample Exam Your Name Class Hour MGS3100 Sample Departmental Final Examination (Last updated on 9/03/10) Directions You may take the full examination period (2 hours) for this final exam, but you may also leave if you finish early. To avoid possible accusations of academic dishonesty, attempt to sit where there is an empty seat between yourself and any other student. There are 50 multiple-choice questions worth 2 points each. There is no correction for guessing, so be sure to provide answers to all questions. Read each question carefully, so that your answer addresses the issue presented (which might not be the one you expected). Choose the one best answer per question. On questions requiring calculations, select the closest answer, as your answers may be slightly different due to rounding. You may have a calculator, one 8½ X 11 (2-sided) sheet of notes, and scratch paper. We recommend that you use pencils and erasers so that you may make changes. You may write on the test, but do not disassemble this document. You must return the exam. Your instructor may choose to use Scantron forms for your answers. Make sure that your name is on the document with your answers clearly indicated (or no credit will be given). Since this is a departmental final exam, there is a possibility that terminology may differ between instructors. If you do not understand the terminology on this test, ask your instructor for clarification. Good luck!
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Directions for Problems 1 and 2: Shirley Hess and her longtime friend Rick Moncrief have developed a hot new product. It is a color fax board for use in PC’s. They see two fundamentally different ways they could manufacture it. The conventional way would be to use existing chips currently available on the open market. The alternative is to use ASIC’s (Application Specific Integrated Circuits). The costs they have been able to estimate, with the help of their bookkeeper, are: ASIC Based Conventional ASIC Setup $200,000 $0 Board Setup $10,000 $10,000 Plant Operations $200,000 $200,000 Marketing $250,000 $250,000 Software/Unit $5 $5 Manual/Unit $1 $1 Packaging/Unit $1 $1 Board/Unit $1 $2 Labor/Unit $2 $8 Chips/Unit $2 $5 Overhead/Unit $6.60 $4.60 Shirley and Rick are not willing to count on more than a two year life for the product in this fast moving industry. The bookkeeper allocated fixed costs for those two years on the assumption that 100,000 color fax modems would be sold in those two years. 1. Find the break-even point (in units) of a color fax modem (ready to ship) for the ASIC manufacturing method assuming that they plan to sell the units for $59 each. A) 4590 B) 8000 C) 10984 D) 14043 E) 20000 2. Find the number of units at which Shirley and Sal should be indifferent between the two methods. A) 4590
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MGS3100 Sample Final 090310 - Sample Exam Instructor's Name...

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