Question 1

Which of the following is true regarding simulation?

Accepted Answer

A)  Small problems can be done by hand. 
B)  Most simulations are computerized. 
C)  Real-world complications can be included in simulation models. 
D)  Simulation is most suitable where standard analytical models are too complex. 
E)  All of the above are true. 
A)  Small problems can be done by hand. 
B)  Most simulations are computerized. 
C)  Real-world complications can be included in simulation models. 
D)  Simulation is most suitable where standard analytical models are too complex. 
E)  All of the above are true. E

Question 2

A distribution of lead times in an inventory problem indicates that lead time was 1 day 20% of the time, 2 days 30% of the time, 3 days 30% of the time, and. 4 days 20% of the time. This distribution has been prepared for Monte Carlo analysis. The first four random numbers drawn are 06, 63, 57, and 02. The average lead time of this simulation is

Accepted Answer

A)  1.75 days. 
B)  2 days. 
C)  3 days. 
D)  3.5 days. 
E)  4 days. 
A)  1.75 days. 
B)  2 days. 
C)  3 days. 
D)  3.5 days. 
E)  4 days. B

Question 3

Suppose the following random numbers (1, 34, 22, 78, 56, 98, 00, 82) were selected during a Monte Carlo simulation that was based on the chart below. What was the average demand per period for the simulation? What is the expected demand?
 $$\begin{array} { | c | c | c | c | } 
\hline \text { Demand } & \text { Probability } & \begin{array} { c } 
\text { Cumulative } \
\text { Probability }
\end{array} & \begin{array} { c } 
\text { Interval of Random } \
\text { Numbers }
\end{array} \
\hline 0 & .1 & & \
\hline 1 & .15 & & \
\hline 2 & .4 & & \
\hline 3 & .15 & & \
\hline 4 & .2 & & \
\hline
\end{array}$$

Accepted Answer

$$\begin{array} { | c | c | c | c | } 
\hline \text { Demand } & \text { Probability } & \begin{array} { c } 
\text { Cumulative } \
\text { Probability }
\end{array} & \begin{array} { c } 
\text { Interval of Random } \
\text { Numbers }
\end{array} \
\hline 0 & .1 & .1 & 01 - 10 \
\hline 1 & .15 & .25 & 11 - 25 \
\hline 2 & .4 & .65 & 26 - 65 \
\hline 3 & .15 & .8 & 66 - 80 \
\hline 4 & .2 & 1 & 81 - 00 \
\hline
\end{array}$$ Tires sold sum is given by 0 + 2 + 1 + 3 + 2 + 4 + 4 + 4 = 20 over 8 periods. Thus the average demand was 20/8 = 2.5 tires.
The expected demand is simply the EV, or .1(0) + .15(1) + .4(2) + .15(3) + .2(4) = 2.2 tires per period.

Question 4

The effects of OM policies over many months or years can be obtained by computer simulation in a short time. This phenomenon is referred to as

Accepted Answer

A)  time suppression. 
B)  time suspension. 
C)  time compression. 
D)  time inversion. 
E)  time conversion. 
A)  time suppression. 
B)  time suspension. 
C)  time compression. 
D)  time inversion. 
E)  time conversion.

Question 5

Simulation models that are based on the generation of random numbers may fail to give the same solution in repeated use to any particular problem.

Accepted Answer

A) True 
 B)False

Question 6

Simulation allows managers to test the effects of major policy decisions on real-life systems without disturbing the real system.

Accepted Answer

A) True 
 B)False

Question 7

Define simulation.

Accepted Answer

Simulation is the attempt to d

Question 8

A waiting-line problem that cannot be modelled by standard distributions has been simulated. The table below shows the result of a Monte Carlo simulation. (Assume that the simulation began at 8:00 a.m. and there is only one server.) Why do you think this problem does not fit the standard distribution for waiting lines? Explain briefly how a Monte Carlo simulation might work where analytical models cannot.
 $$\begin{array} { | c | c | c | c | } 
\hline \text { Customer Number } & \text { Arrival Time } & \text { Service Time } & \text { Service Ends } \
\hline 1 & 8 : 05 & 2 & 8 : 07 \
\hline 2 & 8 : 06 & 10 & 8 : 17 \
\hline 3 & 8 : 10 & 15 & 8 : 32 \
\hline 4 & 8 : 20 & 12 & 8 : 44 \
\hline 5 & 8 : 30 & 4 & 8 : 48 \
\hline
\end{array}$$

Accepted Answer

Service times do not appear to be expone

Question 9

Identify, in order, the five steps required to implement the Monte Carlo simulation technique.

Accepted Answer

The steps of the Monte Carlo simulation

Question 10

One of the advantages of simulation is that

Accepted Answer

A)  real-world complications can be included that most OM models cannot permit. 
B)  it always generates a more accurate solution than a mathematical solution. 
C)  it is a trial-and-error approach that may produce different solutions in repeated runs. 
D)  model development is less time consuming than for mathematical models. 
E)  model solutions are transferable to a wide variety of problems. 
A)  real-world complications can be included that most OM models cannot permit. 
B)  it always generates a more accurate solution than a mathematical solution. 
C)  it is a trial-and-error approach that may produce different solutions in repeated runs. 
D)  model development is less time consuming than for mathematical models. 
E)  model solutions are transferable to a wide variety of problems.

Question 11

A distribution of service times at a waiting line shows that service takes 6 minutes 30% of the time, 7 minutes 40% of the time, 8 minutes 20% of the time, and 9 minutes 10% of the time. This distribution has been prepared for Monte Carlo analysis. The first two random numbers drawn are 53 and 74. The simulated service times are ________ minutes, then ________ minutes.

Accepted Answer

A)  6; 7 
B)  7; 7 
C)  7; 8 
D)  8; 9 
E)  Cannot determine, because no service time probability is that large. 
A)  6; 7 
B)  7; 7 
C)  7; 8 
D)  8; 9 
E)  Cannot determine, because no service time probability is that large.

Question 12

From a portion of a probability distribution, you read that P(demand = 1) is 0.05, P(demand = 2) is 0.15, and P(demand = 3) is .20. The cumulative probability for demand 3 would be

Accepted Answer

A)  0.133. 
B)  0.200. 
C)  0.400. 
D)  0.600. 
E)  cannot be determined from the information given. 
A)  0.133. 
B)  0.200. 
C)  0.400. 
D)  0.600. 
E)  cannot be determined from the information given.

Question 13

Complete the following table in preparation for a Monte Carlo simulation. A random number of 42 is generated, what is the demand?
 $$\begin{array} { | c | c | c | c | } 
\hline \text { Demand } & \text { Probability } & \begin{array} { c } 
\text { Cumulative } \
\text { Probability }
\end{array} & \begin{array} { c } 
\text { Interval of Random } \
\text { Numbers }
\end{array} \
\hline 0 & & .2 & \
\hline 2 & & & 21 - 40 \
\hline 3 & & 4 & \
\hline 4 & & & \
\hline & & & 85 - 100 \
\hline
\end{array}$$

Accepted Answer

The answer of Complete the following table in preparation for...

Question 14

All forms of simulation are based on probability or chance.

Accepted Answer

A) True 
 B)False

Question 15

A distribution of service times at a waiting line indicates that service takes 12 minutes 30% of the time and 14 minutes 70% of the time. This distribution has been prepared for Monte Carlo analysis. The first four random numbers drawn are 07, 60, 77, and 49. The average service time of this simulation is

Accepted Answer

A)  12 minutes. 
B)  13 minutes. 
C)  13.5 minutes. 
D)  14 minutes. 
E)  16 minutes. 
A)  12 minutes. 
B)  13 minutes. 
C)  13.5 minutes. 
D)  14 minutes. 
E)  16 minutes.

Question 16

Which of the following is not an application of simulation in the area of operations?

Accepted Answer

A)  personnel scheduling 
B)  truck dispatching 
C)  plant (or facility) layout 
D)  inventory management using EOQ principles 
E)  inventory planning and control 
A)  personnel scheduling 
B)  truck dispatching 
C)  plant (or facility) layout 
D)  inventory management using EOQ principles 
E)  inventory planning and control

Question 17

Which of the following restrictions applies to queuing models but not Monte Carlo simulations?

Accepted Answer

A)  Poisson distribution of arrivals 
B)  constant or exponential service times 
C)  average length of line 
D)  A and B 
E)  A, B, and C 
A)  Poisson distribution of arrivals 
B)  constant or exponential service times 
C)  average length of line 
D)  A and B 
E)  A, B, and C

Question 18

A(n) ________ is a series of digits that have been selected by a totally random process.

Accepted Answer

The answer of A(n) ________ is a series of digits...

Question 19

Historical records on a certain product indicate the following behavior for demand. The data represent the number days that the business was open during 2019 (note that it is possible to have more than 365 days as there are multiple store locations). Convert these data into random number intervals.
 $$\begin{array} { | r | r | } 
\hline \text { Demand } & \text { Frequency } \
\hline 7 & 72 \
\hline 8 & 83 \
\hline 9 & 45 \
\hline 10 & 91 \
\hline 11 & 104 \
\hline
\end{array}$$

Accepted Answer

The answer of Historical records on a certain product indicate...

Question 20

Like mathematical and analytical models, simulation is restricted to using the standard probability distributions.

Accepted Answer

A) True 
 B)False

Exam 23: Simulation

Which of the following is true regarding simulation?

The effects of OM policies over many months or years can be obtained by computer simulation in a short time. This phenomenon is referred to as

Simulation models that are based on the generation of random numbers may fail to give the same solution in repeated use to any particular problem.

Simulation allows managers to test the effects of major policy decisions on real-life systems without disturbing the real system.

Define simulation.

Identify, in order, the five steps required to implement the Monte Carlo simulation technique.

One of the advantages of simulation is that

From a portion of a probability distribution, you read that P(demand = 1) is 0.05, P(demand = 2) is 0.15, and P(demand = 3) is .20. The cumulative probability for demand 3 would be

Complete the following table in preparation for a Monte Carlo simulation. A random number of 42 is generated, what is the demand? Demand Probability Cumulative Probability Interval of Random Numbers 0 .2 2 21-40 3 4 4 85-100

All forms of simulation are based on probability or chance.

Which of the following is not an application of simulation in the area of operations?

Which of the following restrictions applies to queuing models but not Monte Carlo simulations?

A(n) ________ is a series of digits that have been selected by a totally random process.

Like mathematical and analytical models, simulation is restricted to using the standard probability distributions.

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