Sm C102 Quiz #2

Correct Question: Which of the following models uses a schematic model of the sequence of steps in a problem and the conditions and consequences of each step? Your Answer: Decision trees Correct Question: The way to build in greater flexibility in your workers is to do which of the following? Your Answer: Provide a broader range of training Incorrect Question: If the best operating level of a piece of equipment is at a rate of 400 units per hour and the actual output during an hour is 300 units, which of the following is the capacity cushion?Your Answer: 75 percentCorrect Question: The ability to rapidly and inexpensively switch production from one product to another enables what are sometimes referred to as:Your Answer: Economies of scopeCorrect Question: Capacity planning involving acquisition or disposal of fixed assets such as buildings, equipment or facilities is considered as which one of the following planning horizons?Your Answer: Long-rangeCorrect Question: Capacity planning involving hiring, layoffs, some new tooling, minor equipment purchases, and subcontracting is considered as which one of the following planning horizons?Your Answer: Intermediate rangeCorrect Question: If the actual output of a piece of equipment during an hour is 500 units and it's best operating level is at a rate of 400 units per hour, w hich of the following is the capacity utilization rate?Your Answer: 1. 25Correct Question: A process flowchart uses which of the following symbols to represent tasks or operations in a flow diagram?Your Answer: RectangleCorrect Question: A process flowchart uses symbols to represent which of the following?Your Answer: Flows of material or customersCorrect Question: According to Little's law, which of the following can be used to estimate inventory?Your Answer: Throughput rate times flow timeCorrect Question: A process flowchart uses which of the following symbols to represent a decision point in a flow diagram?Your Answer: DiamondCorrect Question: A process flowchart uses which of the following symbols to represent storage areas or queues in a flow diagram?Your Answer: Inverted triangleCorrect Question: To reduce process throughput time you might try which of the following actions?Your Answer: Change the sequence of activitiesCorrect Question: An advantage of a make-to-stock process is which of the following?Your Answer: Rapid delivery of a standard productCorrect Question: Which of the following basic types of process structures is one which equipment or work processes are arranged according to the progressive steps by which the product is made?Your Answer: Assembly lineCorrect Question: Assume a fixed cost for a process of $15,000. The variable cost to produce each unit of product is $10 and the selling price for the finished product is $25.Which of the following is the number of units that has to be produced and sold to break-even?Your Answer: 1,000 unitsCorrect Question: Which of the following is not considered a major process flow structure?Your Answer: FabricationCorrect Question: A difference between project and continuous flow categories of process flow structures is which two of the following?Your Answer: The size of the productCorrect Question: Which of the following is not a basic type of process structure?Your Answer: Product-process matrixCorrect Question: You are hired as a consultant to decide if your client should purchase a new, highly specialized, piece of equipment. The product to be produced by this equipment is forecast to have a total worldwide demand of 15,000 units over the entire product life. The initial investment to acquire and install the equipment is $256,000. The variable cost to produce each unit will be $15 and the selling price for the finished product will be $30. Which of the following best describes the situation the firm is facing?Your Answer: The company's total margin will be less than its investment