9
Linear Programming Applications in
Marketing, Finance, and Operations Management
MULTIPLE CHOICE
1.
Media selection problems usually determine
a.
how many times to use each media source.
b.
the coverage provided by each media source.
c.
the cost of each
14
Inventory Models
MULTIPLE CHOICE
1.
Inventory
a.
is held against uncertain usage so that a supply of items is available if needed.
b.
constitutes a small part of the cost of doing business.
c.
is not something that can be managed effectively.
d.
All of
13
Project Scheduling: PERT/CPM
MULTIPLE CHOICE
1.
PERT and CPM
a.
are most valuable when a small number of activities must be scheduled.
b.
have different features and are not applied to the same situation.
c.
do not require a chronological relationship
2
Introduction to Probability
MULTIPLE CHOICE
1.
Which of the following is not a valid representation of a probability?
a.
35%
b.
0
c.
1.04
d.
3/8
ANSWER:
c
TOPIC:
Introduction
2.
A list of all possible outcomes of an experiment is called
a.
the sample sp
12
Advanced Optimization Applications
MULTIPLE CHOICE
1.
Revenue management methodology was originally developed for
a.
a cruise line.
b.
an airline.
c.
a car rental company.
d.
a hotel chain.
ANSWER:
b
TOPIC:
Revenue management
2.
The overall goal of por
16
Simulation
MULTIPLE CHOICE
1.
A simulation model uses the mathematical expressions and logical relationships of the
a.
real system.
b.
computer model.
c.
performance measures.
d.
estimated inferences.
ANSWER:
a
TOPIC:
Introduction
2.
Values for the pro
15
Waiting Line Models
MULTIPLE CHOICE
1.
Decision makers in queuing situations attempt to balance
a.
operating characteristics against the arrival rate.
b.
service levels against service cost.
c.
the number of units in the system against the time in the
10
Distribution and Network Problems
MULTIPLE CHOICE
1.
The problem which deals with the distribution of goods from several sources to several destinations is
the
a.
maximal flow problem
b.
transportation problem
c.
assignment problem
d.
shortest-route pr
17
Markov Processes
MULTIPLE CHOICE
1.
In Markov analysis, we are concerned with the probability that the
a.
state is part of a system.
b.
system is in a particular state at a given time.
c.
time has reached a steady state.
d.
transition will occur.
ANSWE
11
Integer Linear Programming
MULTIPLE CHOICE
1.
Which of the following is the most useful contribution of integer programming?
a.
finding whole number solutions where fractional solutions would not be appropriate
b.
using 0-1 variables for modeling flexi
7
Introduction to Linear Programming
MULTIPLE CHOICE
1.
The maximization or minimization of a quantity is the
a.
goal of management science.
b.
decision for decision analysis.
c.
constraint of operations research.
d.
objective of linear programming.
ANSWE
8
Linear Programming:
Sensitivity Analysis and Interpretation of Solution
MULTIPLE CHOICE
1.
To solve a linear programming problem with thousands of variables and constraints
a.
a personal computer can be used.
b.
a mainframe computer is required.
c.
the
6
Forecasting
MULTIPLE CHOICE
1.
Time series methods
a.
discover a pattern in historical data and project it into the future.
b.
include cause-effect relationships.
c.
are useful when historical information is not available.
d.
All of the alternatives are
4
Decision Analysis
MULTIPLE CHOICE
1.
The options from which a decision maker chooses a course of action are
a.
called the decision alternatives.
b.
under the control of the decision maker.
c.
not the same as the states of nature.
d.
All of the alternati
5
Utility and Game Theory
MULTIPLE CHOICE
1.
When consequences are measured on a scale that reflects a decision maker's attitude toward profit, loss,
and risk, payoffs are replaced by
a.
utility values.
b.
multicriteria measures.
c.
sample information.
d.
STANDARD NORMAL DISTRIBUTION AND ITS APPLICATION
Standard Normal Distribution is one specific type of continuous variable distribution with the mean of
zero and standard deviation of 1.0. This distribution is assumed frequently in Operations Management an