Question 1

Explain the difference between random numbers and random number intervals.

Accepted Answer

Random numbers are a series of digits th

Question 2

Monte Carlo simulations applied to queuing problems have what advantage?

Accepted Answer

A)  simpler 
B)  Arrival distribution does not need to be a Poisson distribution. 
C)  Unloading rates can vary randomly. 
D)  B and C 
E)  A, B, and C 
A)  simpler 
B)  Arrival distribution does not need to be a Poisson distribution. 
C)  Unloading rates can vary randomly. 
D)  B and C 
E)  A, B, and C

Question 3

From a portion of a probability distribution, you read that P(demand = 0) is 0.25, and P(demand = 1) is 0.30. The random number intervals for this distribution beginning with 01 are

Accepted Answer

A)  01 through 25, and 26 through 30. 
B)  01 through 25, and 01 through 30. 
C)  01 through 25, and 26 through 55. 
D)  00 through 25, and 26 through 55. 
E)  00 through 25, and 26 through 30. 
A)  01 through 25, and 26 through 30. 
B)  01 through 25, and 01 through 30. 
C)  01 through 25, and 26 through 55. 
D)  00 through 25, and 26 through 55. 
E)  00 through 25, and 26 through 30.

Question 4

The ________ method is a simulation technique that uses random elements when chance exists in their behaviour.

Accepted Answer

The answer of The ________ method is a simulation technique...

Question 5

Complete the following table in preparation for a Monte Carlo simulation.
If a random number of 77 is generated what is the demand?
 $$\begin{array} { | c | c | c | c | } 
\hline \text { Demand } & \text { Probability } & \begin{array} { c } 
\text { Cumulative } \
\text { Probability }
\end{array} & \begin{array} { c } 
\text { Interval of Random } \
\text { Numbers }
\end{array} \
\hline 0 & & .1 & \
\hline 2 & & & 11 - 25 \
\hline 3 & & .3 & \
\hline 4 & & & \
\hline & & & 91 - 100 \
\hline
\end{array}$$

Accepted Answer

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

Question 6

Simulation models are inexpensive to design and use.

Accepted Answer

A) True 
 B)False

Question 7

In most real-world inventory problems, lead time and demand vary in ways that make simulation a necessity because mathematical modeling is extremely difficult.

Accepted Answer

A) True 
 B)False

Question 8

Julie's Diamond Boutique is very concerned with its order policies related to one-carat diamond solitaires. Their current policy is to order 10 diamonds whenever their inventory reaches 6 diamonds (unless there is already an ordered delivery due). Currently there are 8 diamonds on hand. Orders are placed at the end of the month and take one month to arrive . The following distribution of monthly sales has been developed using historical sales. If Julie's does not have a diamond on hand, it will result in a lost sale. Use the following random numbers to determine the number of lost sales of one-carat solitaires at Julie's over 12 months.
 $$\begin{array} { | c | c | } 
\hline \text { Monthly sales } & \text { Probability } \
\hline 3 & .20 \
\hline 4 & .30 \
\hline 5 & .20 \
\hline 6 & .20 \
\hline 7 & .10 \
\hline
\end{array}$$ Random numbers for sales: 10, 24, 03, 32, 23, 59, 95, 34, 34, 51, 08, 48

Accepted Answer

@#IMG-DLM& @#IMG-DLM& Over the

Question 9

The numbers used to represent each possible value or outcome in a computer simulation are referred to as ________.

Accepted Answer

random-num

Question 10

The lunch counter at a small restaurant has difficulty handling the lunch business. Currently, there is only one cashier in a single-channel, single-phase system. The restaurant has collected information on the interarrival time, and service time distributions from past lunch hours. They are represented in the tables below. Use the following two-digit random numbers given below to simulate 10 customers through the checkout system. What is the average time in line, and average time in system? (Set first arrival time to the interarrival time generated by first random number.
 $$\begin{array} { | c | c | c | c | c | } 
\hline \begin{array} { c } 
\text { Interarrival time } \
\text { (minutes) }
\end{array} & \text { Probability } & & \begin{array} { c } 
\text { Service time } \
\text { (minutes) }
\end{array} & \text { Probability } \
\hline 1 & .20 & & 1 & .20 \
\hline 2 & .20 & & 2 & .30 \
\hline 3 & .30 & & 3 & .30 \
\hline 4 & .20 & & 4 & .20 \
\hline 5 & .10 & & & \
\hline
\end{array}$$ Random numbers for interarrival times: 32, 73, 41, 38, 73, 01, 09, 64, 34, 44
Random numbers of service times: 84, 55, 25, 71, 34, 57, 50, 44, 95, 64

Accepted Answer

@#IMG-DLM& @#IMG-DLM& Average time in li

Question 11

Sam's hardware store has an order policy of ordering 11 liters of a specific primer whenever 5 liters are on hand (unless there's already an ordered delivery due). The store would like to see how well their policy works. Assume that beginning inventory in period 1 is 12 units, that orders are placed at the end of the week to be received one week later. (In other words, if an order is placed at the end of week one, it is available at the beginning of week 3.) Assume that if inventory is not on hand, it will result in a lost sale. The weekly demand distribution obtained from past sales is found in the table below. Also, use the random numbers that are provided and simulate 5 weeks worth of sales. How many sales are lost?
 $$\begin{array} { | c | c | } 
\hline \text { Weekly sales } & \text { Probability } \
\hline 3 & .25 \
\hline 4 & .25 \
\hline 5 & .30 \
\hline 6 & .20 \
\hline
\end{array}$$ Random numbers for sales: 87, 64, 79, 21, 85

Accepted Answer

@#IMG-DLM& @#IMG-DLM& Over the 5 weeks o

Question 12

Sam's hardware store has an order policy of ordering 12 liters of a specific primer whenever 7 liters are on hand (unless there's already an ordered delivery due). The store would like to see how well their policy works. Assume that beginning inventory in period 1 is 15 units, that orders are placed at the end of the week to be received one week later. (In other words, if an order is placed at the end of week one, it is available at the beginning of week 3.) Assume that if inventory is not on hand, it will result in a lost sale. The weekly demand distribution obtained from past sales is found in the table below. Also, use the random numbers that are provided and simulate 5 weeks worth of sales. How many sales are lost?
 $$\begin{array} { | c | c | } 
\hline \text { Weekly sales } & \text { Probability } \
\hline 3 & .20 \
\hline 4 & .30 \
\hline 5 & .30 \
\hline 6 & .20 \
\hline
\end{array}$$ Random numbers for sales: 37, 60, 79, 21, 85

Accepted Answer

@#IMG-DLM& @#IMG-DLM& Over the 5 weeks o

Question 13

What is the Monte Carlo method?

Accepted Answer

The Monte Carlo method is a si

Question 14

Complete the following table in preparation for a Monte Carlo simulation. The expected demand is 3.2.
 $$\begin{array} { | c | c | c | c | } 
\hline \text { Demand } & \text { Probability } & \begin{array} { c } 
\text { Cumulative } \
\text { Probability }
\end{array} & \begin{array} { c } 
\text { Interval of Random } \
\text { Numbers }
\end{array} \
\hline 0 & & .1 & \
\hline 2 & & & 11 - 25 \
\hline 3 & & .3 & \
\hline 4 & & & \
\hline & & & 91 - 100 \
\hline
\end{array}$$

Accepted Answer

@#IMG-DLM& Students should have only moderate diff

Question 15

Identify the seven steps involved in using simulation.

Accepted Answer

1. Define the problem.
2. Introduce the

Question 16

What are the advantages and disadvantages of simulation models?

Accepted Answer

Advantages:
• Simulation is relatively s

Question 17

One effective use of simulation is to study problems for which the mathematical models of operations management are not realistic enough.

Accepted Answer

A) True 
 B)False

Question 18

A reason for the use of simulation in queuing is that the four standard queuing models do not allow for unusual arrival and service distributions.

Accepted Answer

A) True 
 B)False

Question 19

Create a distribution of random numbers that would result in average demand per period for a Monte Carlo simulation that is equivalent to the expected demand per period using the data given by the chart below.
 $$\begin{array} { | c | c | c | c | } 
\hline \text { Demand } & \text { Probability } & \begin{array} { c } 
\text { Cumulative } \
\text { Probability }
\end{array} & \begin{array} { c } 
\text { Interval of Random } \
\text { Numbers }
\end{array} \
\hline 0 &. & & \
\hline 1 & .15 & & \
\hline 2 & .4 & & \
\hline 3 & .15 & & \
\hline 4 & .2 & & \
\hline
\end{array}$$

Accepted Answer

@#IMG-DLM& This problem will most likely confuse m

Question 20

From a portion of a probability distribution, you read that P(demand = 0) is 0.05 and P(demand = 1) is 0.10. The cumulative probability for demand 1 would be

Accepted Answer

A)  0.05. 
B)  0.075. 
C)  0.10. 
D)  0.15. 
E)  cannot be determined. 
A)  0.05. 
B)  0.075. 
C)  0.10. 
D)  0.15. 
E)  cannot be determined.

Exam 23: Simulation

Explain the difference between random numbers and random number intervals.

Monte Carlo simulations applied to queuing problems have what advantage?

From a portion of a probability distribution, you read that P(demand = 0) is 0.25, and P(demand = 1) is 0.30. The random number intervals for this distribution beginning with 01 are

The ________ method is a simulation technique that uses random elements when chance exists in their behaviour.

Complete the following table in preparation for a Monte Carlo simulation. If a random number of 77 is generated what is the demand? Demand Probability Cumulative Probability Interval of Random Numbers 0 .1 2 11-25 3 .3 4 91-100

Simulation models are inexpensive to design and use.

In most real-world inventory problems, lead time and demand vary in ways that make simulation a necessity because mathematical modeling is extremely difficult.

The numbers used to represent each possible value or outcome in a computer simulation are referred to as ________.

What is the Monte Carlo method?

Complete the following table in preparation for a Monte Carlo simulation. The expected demand is 3.2. Demand Probability Cumulative Probability Interval of Random Numbers 0 .1 2 11-25 3 .3 4 91-100

Identify the seven steps involved in using simulation.

What are the advantages and disadvantages of simulation models?

One effective use of simulation is to study problems for which the mathematical models of operations management are not realistic enough.

A reason for the use of simulation in queuing is that the four standard queuing models do not allow for unusual arrival and service distributions.

From a portion of a probability distribution, you read that P(demand = 0) is 0.05 and P(demand = 1) is 0.10. The cumulative probability for demand 1 would be

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