Question 1

Decision criteria

Accepted Answer

A) are the choices faced by the decision maker. 
B) are the problems faced by the decision maker. 
C) are the ways to evaluate the choices faced by the decision maker. 
D) must be unique for a problem. 
A) are the choices faced by the decision maker. 
B) are the problems faced by the decision maker. 
C) are the ways to evaluate the choices faced by the decision maker. 
D) must be unique for a problem.

Question 2

A physical model that does not have the same physical appearance as the object being modeled is

Accepted Answer

A) an analog model. 
B) an iconic model. 
C) a mathematical model. 
D) a qualitative model. 
A) an analog model. 
B) an iconic model. 
C) a mathematical model. 
D) a qualitative model.

Question 3

Give three benefits of model development and an example of each.

Accepted Answer

1. Improved decision-making: Model devel

Question 4

The field of management science

Accepted Answer

A) concentrates on the use of quantitative methods to assist in decision making. 
B) approaches decision making rationally, with techniques based on the scientific method. 
C) is another name for decision science and for operations research. 
D) each of the above is true. 
A) concentrates on the use of quantitative methods to assist in decision making. 
B) approaches decision making rationally, with techniques based on the scientific method. 
C) is another name for decision science and for operations research. 
D) each of the above is true.

Question 5

As part of their application for a loan to buy Lakeside Farm, a property they hope to develop as a bed-and-breakfast operation, the prospective owners have projected: $\begin{array} {ll}\text {Monthly fixed cost (loan payment, taxes, insurance, maintenance) }&\$6000\\text {Variable cost per occupied room per night}&\$20\\text { Revenue per occupied room per night}&\$75\\end{array}$ 
a.Write the expression for total cost per month.Assume 30 days per month.
b.Write the expression for total revenue per month.
c.If there are 12 guest rooms available, can they break even? What percentage of rooms would need to be occupied, on average, to break even?

Accepted Answer

a.C(x) = 6000 + 20(30)x
(month

Question 6

Explain the relationship between information systems specialists and quantitative analysts in the solution of large mathematical problems.

Accepted Answer

Information systems specialists and quan

Question 7

Organizers of an Internet training session will charge participants $150 to attend. It costs $3000 to reserve the room, hire the instructor, bring in the equipment, and advertise. Assume it costs $25 per student for the organizers to provide the course materials.
a.How many students would have to attend for the company to break even?
b.If the trainers think, realistically, that 20 people will attend, then what price should be charged per person for the organization to break even?

Accepted Answer

a.C(x) = 3000 + 25x
R(x) = 150

Question 8

To establish a driver education school, organizers must decide how many cars, instructors, and students to have. Costs are estimated as follows. Annual fixed costs to operate the school are $30,000. The annual cost per car is $3000. The cost per instructor is $11,000 and one instructor is needed for each car. Tuition for each student is $350. Let x be the number of cars and y be the number of students.
a.Write an expression for total cost.
b.Write an expression for total revenue.
c.Write an expression for total profit.
d.The school offers the course eight times each year.Each time the course is offered, there are two sessions.If they decide to operate five cars, and if four students can be assigned to each car, will they break even?

Accepted Answer

a.C(x) = 30000 + 14000x
b.R(y) = 350y
c.

Question 9

The volume that results in total revenue being equal to total cost is the

Accepted Answer

A) break-even point. 
B) marginal volume. 
C) marginal cost. 
D) profit mix. 
A) break-even point. 
B) marginal volume. 
C) marginal cost. 
D) profit mix.

Question 10

Decision alternatives

Accepted Answer

A) should be identified before decision criteria are established. 
B) are limited to quantitative solutions 
C) are evaluated as a part of the problem definition stage. 
D) are best generated by brain-storming. 
A) should be identified before decision criteria are established. 
B) are limited to quantitative solutions 
C) are evaluated as a part of the problem definition stage. 
D) are best generated by brain-storming.

Question 11

The most successful quantitative analysis will separate the analyst from the managerial team until after the problem is fully structured.

Accepted Answer

A) True 
 B)False

Question 12

All uncontrollable inputs or data must be specified before we can analyze the model and recommend a decision or solution for the problem.

Accepted Answer

A) True 
 B)False

Question 13

The decision making process includes implementation and evaluation of the decision.

Accepted Answer

A) True 
 B)False

Question 14

Problem solving encompasses both the identification of a problem and the action to resolve it.

Accepted Answer

A) True 
 B)False

Question 15

Management science and operations research both involve

Accepted Answer

A) qualitative managerial skills. 
B) quantitative approaches to decision making. 
C) operational management skills. 
D) scientific research as opposed to applications. 
A) qualitative managerial skills. 
B) quantitative approaches to decision making. 
C) operational management skills. 
D) scientific research as opposed to applications.

Question 16

The volume that results in marginal revenue equaling marginal cost is called the break-even point.

Accepted Answer

A) True 
 B)False

Question 17

A university schedules summer school courses based on anticipated enrollment. The cost for faculty compensation, laboratories, student services, and allocated overhead for a computer class is $8500. If students pay $420 to enroll in the course, how large would enrollment have to be for the university to break even?

Accepted Answer

Enrollment

Question 18

The relationship d = 5000 - 25p describes what happens to demand (d) as price (p) varies. Here, price can vary between $10 and $50.
a.How many units can be sold at the $10 price? How many can be sold at the $50 price?
b.Model the expression for total revenue.
c.Consider prices of $20, $30, and $40.Which price alternative will maximize total revenue? What are the values for demand and revenue at this price?

Accepted Answer

a.For p = 10, d = 4750
For p =

Question 19

Frederick Taylor is credited with forming the first MS/OR interdisciplinary teams in the 1940's.

Accepted Answer

A) True 
 B)False

Question 20

The process of decision making is more limited than that of problem solving.

Accepted Answer

A) True 
 B)False

Decision criteria

A physical model that does not have the same physical appearance as the object being modeled is

Give three benefits of model development and an example of each.

The field of management science

Explain the relationship between information systems specialists and quantitative analysts in the solution of large mathematical problems.

The volume that results in total revenue being equal to total cost is the

Decision alternatives

The most successful quantitative analysis will separate the analyst from the managerial team until after the problem is fully structured.

All uncontrollable inputs or data must be specified before we can analyze the model and recommend a decision or solution for the problem.

The decision making process includes implementation and evaluation of the decision.

Problem solving encompasses both the identification of a problem and the action to resolve it.

Management science and operations research both involve

The volume that results in marginal revenue equaling marginal cost is called the break-even point.

Frederick Taylor is credited with forming the first MS/OR interdisciplinary teams in the 1940's.

The process of decision making is more limited than that of problem solving.

An Introduction to Linear Programming

Linear Programming: Sensitivity Analysis and Interpretation of Solution

Linear Programming Applications in Marketing, Finance and Operations Management

Advanced Linear Programming Applications

Distribution and Network Problems

Integer Linear Programming

Nonlinear Optimization Models

Project Scheduling: Pertcpm

Inventory Models

Waiting Line Models

Simulation

Decision Analysis

Multicriteria Decisions

Forecasting

Markov Processes

Linear Programming: Simplex Method

Simplex-Based Sensitivity Analysis and Duality

Solution Procedures for Transportation and Assignment Problems

Minimal Spanning Tree

Dynamic Programming

Filters

Exam 1: Introduction

Decision criteria

A physical model that does not have the same physical appearance as the object being modeled is

Give three benefits of model development and an example of each.

The field of management science

Explain the relationship between information systems specialists and quantitative analysts in the solution of large mathematical problems.

The volume that results in total revenue being equal to total cost is the

Decision alternatives

The most successful quantitative analysis will separate the analyst from the managerial team until after the problem is fully structured.

All uncontrollable inputs or data must be specified before we can analyze the model and recommend a decision or solution for the problem.

The decision making process includes implementation and evaluation of the decision.

Problem solving encompasses both the identification of a problem and the action to resolve it.

Management science and operations research both involve

The volume that results in marginal revenue equaling marginal cost is called the break-even point.

Frederick Taylor is credited with forming the first MS/OR interdisciplinary teams in the 1940's.

The process of decision making is more limited than that of problem solving.

An Introduction to Linear Programming

Linear Programming: Sensitivity Analysis and Interpretation of Solution

Linear Programming Applications in Marketing, Finance and Operations Management

Advanced Linear Programming Applications

Distribution and Network Problems

Integer Linear Programming

Nonlinear Optimization Models

Project Scheduling: Pertcpm

Inventory Models

Waiting Line Models

Simulation

Decision Analysis

Multicriteria Decisions

Forecasting

Markov Processes

Linear Programming: Simplex Method

Simplex-Based Sensitivity Analysis and Duality

Solution Procedures for Transportation and Assignment Problems

Minimal Spanning Tree

Dynamic Programming

Filters