Question 1

In a break-even problem, which costs are considered?

Accepted Answer

A)  Fixed costs 
B)  Variable costs 
C)  Both fixed and variable costs 
D)  Neither fixed nor variable costs 
A)  Fixed costs 
B)  Variable costs 
C)  Both fixed and variable costs 
D)  Neither fixed nor variable costs C

Question 2

In a break-even problem what would be expected to happen to the break-even quantity if the fixed cost is increased (assume fixed and variable costs remain constant)?

Accepted Answer

A)  Increase 
B)  Decrease 
C)  Neither increase nor decrease 
D)  Impossible to know how break-even quantity would change 
A)  Increase 
B)  Decrease 
C)  Neither increase nor decrease 
D)  Impossible to know how break-even quantity would change A

Question 3

Which of the following is most likely an example of a job shop?

Accepted Answer

A)  A car assembly plant 
B)  A custom furniture manufacturer 
C)  An oil refinery 
D)  A large bakery 
A)  A car assembly plant 
B)  A custom furniture manufacturer 
C)  An oil refinery 
D)  A large bakery B

Question 4

Attempting to exceed a sustainable capacity for an extended period of time can lead to an effect known as?

Accepted Answer

A)  Economies of scale 
B)  Distribution of effort 
C)  Diseconomies of scale 
D)  Overreaching scale 
A)  Economies of scale 
B)  Distribution of effort 
C)  Diseconomies of scale 
D)  Overreaching scale

Question 5

The main tradeoff in process selection is between volume and _______.

Accepted Answer

The answer of The main tradeoff in process selection is...

Question 6

Management insists that a purchase be made only if the break-even point for the purchase is at least 500 units. If the fixed cost is $600 and variable cost per unit is $3, what is the selling price that should be set to exactly achieve this break-even point?

Accepted Answer

A)  $4.20 
B)  $5.00 
C)  $6.00 
D)  Cannot be determined from the information given 
A)  $4.20 
B)  $5.00 
C)  $6.00 
D)  Cannot be determined from the information given

Question 7

A diagram showing the sequence of steps involved in a process is a?

Accepted Answer

A)  Process visualization 
B)  Process illustration 
C)  Process flowchart 
D)  Process diagram 
A)  Process visualization 
B)  Process illustration 
C)  Process flowchart 
D)  Process diagram

Question 8

A factory with a sustainable output of 5,000 parts per day has averaged 4,600 parts per day for the last month. What is the factory's capacity utilization over this period (given as a percentage)?

Accepted Answer

A)  108.7% 
B)  400% 
C)  92% 
D)  Cannot be determined without a given design capacity 
A)  108.7% 
B)  400% 
C)  92% 
D)  Cannot be determined without a given design capacity

Question 9

Which type of inventory would be more likely to be held in assembly line process versus in a job shop process?

Accepted Answer

A)  Work in process 
B)  Raw materials 
C)  Perishable goods 
D)  Finished goods 
A)  Work in process 
B)  Raw materials 
C)  Perishable goods 
D)  Finished goods

Question 10

A coffee shop is considering the purchase of a new machine. The machine costs $1,000. The shop will be able to sell a new drink for $4 per drink with a cost per drink of $2. What is the break-even quantity for the machine?

Accepted Answer

A)  1,000 drinks 
B)  2 drinks 
C)  500 drinks 
D)  250 drinks 
A)  1,000 drinks 
B)  2 drinks 
C)  500 drinks 
D)  250 drinks

Question 11

An assembly line is characterized by which of the following?

Accepted Answer

A)  Low volume, high flexibility 
B)  Low volume, limited flexibility 
C)  High volume, limited flexibility 
D)  High volume, high flexibility 
A)  Low volume, high flexibility 
B)  Low volume, limited flexibility 
C)  High volume, limited flexibility 
D)  High volume, high flexibility

Question 12

The fundamental rethinking and redesign of a process to achieve dramatic improvements in efficiency and effectiveness refers to?

Accepted Answer

A)  Business process analysis 
B)  Business process reimagination 
C)  Business process relocation 
D)  Business process reengineering 
A)  Business process analysis 
B)  Business process reimagination 
C)  Business process relocation 
D)  Business process reengineering

Question 13

Desired production volume and variety of goods/services desired are, generally, the guiding criteria for determining?

Accepted Answer

A)  A match of supplier to manufacturer 
B)  A match of production process to product 
C)  A match of transportation provider to customer 
D)  A match of production output to customer 
A)  A match of supplier to manufacturer 
B)  A match of production process to product 
C)  A match of transportation provider to customer 
D)  A match of production output to customer

Question 14

The fundamental rethinking and redesign of a process to achieve dramatic improvements in efficiency and effectiveness defines __________.

Accepted Answer

Business p

Question 15

Airlines often practice capacity sharing through the use of code-sharing of flights.

Accepted Answer

A) True 
 B)False

Question 16

A job shop is organized in which of the following ways?

Accepted Answer

A)  Processes arranged in sequence according to processing steps 
B)  Processes arranged in a circular fashion to allow processes to be repeated as needed 
C)  Production area divided across multiple facilities often located in different countries/regions 
D)  Production area divided into departments 
A)  Processes arranged in sequence according to processing steps 
B)  Processes arranged in a circular fashion to allow processes to be repeated as needed 
C)  Production area divided across multiple facilities often located in different countries/regions 
D)  Production area divided into departments

Question 17

A firm's processes are largely static and remain unchanged over time.

Accepted Answer

A) True 
 B)False

Question 18

Business process reengineering, in a modern context, refers to?

Accepted Answer

A)  Making radical process improvements quickly 
B)  Making small improvements over a short period of time 
C)  Making continual process improvements over time 
D)  Outsourcing process design and engineering 
A)  Making radical process improvements quickly 
B)  Making small improvements over a short period of time 
C)  Making continual process improvements over time 
D)  Outsourcing process design and engineering

Question 19

Industry around the world accounts for approximately how much of the world's total energy use (choose the closest answer)?

Accepted Answer

A)  1% 
B)  10% 
C)  20% 
D)  30% 
A)  1% 
B)  10% 
C)  20% 
D)  30%

Question 20

Visit your favorite local restaurant (fast-food or otherwise) and draw a basic process flowchart for the food ordering, preparation, and delivery. Are there portions of these processes that do not appear to add value to the process? How could these be eliminated or reduced?

Accepted Answer

A successful answer will adequately desc

In a break-even problem, which costs are considered?

In a break-even problem what would be expected to happen to the break-even quantity if the fixed cost is increased (assume fixed and variable costs remain constant)?

Which of the following is most likely an example of a job shop?

Attempting to exceed a sustainable capacity for an extended period of time can lead to an effect known as?

The main tradeoff in process selection is between volume and _______.

Management insists that a purchase be made only if the break-even point for the purchase is at least 500 units. If the fixed cost is $600 and variable cost per unit is $3, what is the selling price that should be set to exactly achieve this break-even point?

A diagram showing the sequence of steps involved in a process is a?

A factory with a sustainable output of 5,000 parts per day has averaged 4,600 parts per day for the last month. What is the factory's capacity utilization over this period (given as a percentage)?

Which type of inventory would be more likely to be held in assembly line process versus in a job shop process?

A coffee shop is considering the purchase of a new machine. The machine costs $1,000. The shop will be able to sell a new drink for $4 per drink with a cost per drink of $2. What is the break-even quantity for the machine?

An assembly line is characterized by which of the following?

The fundamental rethinking and redesign of a process to achieve dramatic improvements in efficiency and effectiveness refers to?

Desired production volume and variety of goods/services desired are, generally, the guiding criteria for determining?

The fundamental rethinking and redesign of a process to achieve dramatic improvements in efficiency and effectiveness defines __________.

Airlines often practice capacity sharing through the use of code-sharing of flights.

A job shop is organized in which of the following ways?

A firm's processes are largely static and remain unchanged over time.

Business process reengineering, in a modern context, refers to?

Industry around the world accounts for approximately how much of the world's total energy use (choose the closest answer)?

Visit your favorite local restaurant (fast-food or otherwise) and draw a basic process flowchart for the food ordering, preparation, and delivery. Are there portions of these processes that do not appear to add value to the process? How could these be eliminated or reduced?

Operations Management, Processes, and Supply Chain Management

Corporate Strategy, Performance, and Sustainability

Product Design and Development

Customer Relationships and Customer Service

Demand Management, Forecasting, and Aggregate Planning

Independent Demand Inventory Management

Material Flow Analysis and Facility Layouts

Supplement: Job Scheduling and Vehicle Routing

Lean Systems

Managing Customer and Work Flows

Managing Information Flowsmrp and Erp

Managing Projects

Six Sigma Quality Management

Supplement: Statistical Quality Control

Global Supply Management

Location, Logistics, and Product Returns

Integrating Processes Along the Supply Chain

Filters

Exam 4: Process Design and Capacity Management

In a break-even problem, which costs are considered?

In a break-even problem what would be expected to happen to the break-even quantity if the fixed cost is increased (assume fixed and variable costs remain constant)?

Which of the following is most likely an example of a job shop?

Attempting to exceed a sustainable capacity for an extended period of time can lead to an effect known as?

The main tradeoff in process selection is between volume and _______.

Management insists that a purchase be made only if the break-even point for the purchase is at least 500 units. If the fixed cost is $600 and variable cost per unit is $3, what is the selling price that should be set to exactly achieve this break-even point?

A diagram showing the sequence of steps involved in a process is a?

A factory with a sustainable output of 5,000 parts per day has averaged 4,600 parts per day for the last month. What is the factory's capacity utilization over this period (given as a percentage)?

Which type of inventory would be more likely to be held in assembly line process versus in a job shop process?

A coffee shop is considering the purchase of a new machine. The machine costs $1,000. The shop will be able to sell a new drink for $4 per drink with a cost per drink of $2. What is the break-even quantity for the machine?

An assembly line is characterized by which of the following?

The fundamental rethinking and redesign of a process to achieve dramatic improvements in efficiency and effectiveness refers to?

Desired production volume and variety of goods/services desired are, generally, the guiding criteria for determining?

The fundamental rethinking and redesign of a process to achieve dramatic improvements in efficiency and effectiveness defines __________.

Airlines often practice capacity sharing through the use of code-sharing of flights.

A job shop is organized in which of the following ways?

A firm's processes are largely static and remain unchanged over time.

Business process reengineering, in a modern context, refers to?

Industry around the world accounts for approximately how much of the world's total energy use (choose the closest answer)?

Visit your favorite local restaurant (fast-food or otherwise) and draw a basic process flowchart for the food ordering, preparation, and delivery. Are there portions of these processes that do not appear to add value to the process? How could these be eliminated or reduced?

Operations Management, Processes, and Supply Chain Management

Corporate Strategy, Performance, and Sustainability

Product Design and Development

Customer Relationships and Customer Service

Demand Management, Forecasting, and Aggregate Planning

Independent Demand Inventory Management

Material Flow Analysis and Facility Layouts

Supplement: Job Scheduling and Vehicle Routing

Lean Systems

Managing Customer and Work Flows

Managing Information Flowsmrp and Erp

Managing Projects

Six Sigma Quality Management

Supplement: Statistical Quality Control

Global Supply Management

Location, Logistics, and Product Returns

Integrating Processes Along the Supply Chain

Filters