Question 1

Inventory information for firm ABC: What was the inventory at the end of March,2014?

Accepted Answer

A)  350 
B)  250 
C)  150 
D)  50 
E)  None of the choices are correct. 
A)  350 
B)  250 
C)  150 
D)  50 
E)  None of the choices are correct. C

Question 2

For each product in the schedule,which of the following are outputs from the master production schedule?
I.Planned production
II.Available-to-promise (ATP)inventory
III.Beginning inventory levels
IV.Demand forecasts

Accepted Answer

A)  I, III, and IV 
B)  I, II, and III 
C)  I and IV only 
D)  II, III, and IV 
E)  I and II only 
A)  I, III, and IV 
B)  I, II, and III 
C)  I and IV only 
D)  II, III, and IV 
E)  I and II only E

Question 3

Sales and operations planning is typically performed once a year with monthly updates.

Accepted Answer

A) True 
 B)False  True

Question 4

In using the "chase demand strategy" variations in demand could be met by:

Accepted Answer

A)  hiring part time workers. 
B)  subcontracting. 
C)  the use of overtime. 
D)  varying inventory levels. 
E)  All of the choices. 
A)  hiring part time workers. 
B)  subcontracting. 
C)  the use of overtime. 
D)  varying inventory levels. 
E)  All of the choices.

Question 5

The use of tables and charts in aggregate operations planning enables planners to develop and compare alternative production plans.

Accepted Answer

A) True 
 B)False

Question 6

Linear programming models used to produce an aggregate operations plan:
I.are based on a total cost formula as a linear objective function.
II.is the most widely used technique for aggregate operations planning.
III.establishes an optimal (least cost)solution (if it exists).

Accepted Answer

A)  I only 
B)  II only 
C)  III only 
D)  I and III only 
E)  I, II, and III 
A)  I only 
B)  II only 
C)  III only 
D)  I and III only 
E)  I, II, and III

Question 7

Essentially,the output of aggregate operations planning is:

Accepted Answer

A)  the marketing plan. 
B)  the production plan. 
C)  the rough-cut capacity plan. 
D)  the master schedule. 
E)  the material requirements plan. 
A)  the marketing plan. 
B)  the production plan. 
C)  the rough-cut capacity plan. 
D)  the master schedule. 
E)  the material requirements plan.

Question 8

The master production schedule indicates the quantity and timing for planned production of an item.

Accepted Answer

A) True 
 B)False

Question 9

After the first period of the planning horizon,available-to-promise (ATP)inventory is computed only for those periods in which there is a planned production quantity.

Accepted Answer

A) True 
 B)False

Question 10

Which of the following is not a basic option for altering the availability of capacity in service?

Accepted Answer

A)  Overtime 
B)  Hiring/layoff 
C)  Part time 
D)  Inventory 
E)  All of these are basic options 
A)  Overtime 
B)  Hiring/layoff 
C)  Part time 
D)  Inventory 
E)  All of these are basic options

Question 11

One area that aggregate operations planning decisions relate to is:

Accepted Answer

A)  job sequencing. 
B)  order quantities. 
C)  inventory levels. 
D)  location. 
E)  layout. 
A)  job sequencing. 
B)  order quantities. 
C)  inventory levels. 
D)  location. 
E)  layout.

Question 12

For aggregate planning,groups of similar products are lumped together and treated as equivalent products for planning purposes.

Accepted Answer

A) True 
 B)False

Question 13

Trial and error methods are commonly used by aggregate operations planners in developing aggregate operations plans.

Accepted Answer

A) True 
 B)False

Question 14

Aggregate operations planners seek to match supply and demand:
I.at minimum overall cost.
II.by staying within company policy.
III.keeping inventories at a minimum.

Accepted Answer

A)  I only 
B)  II only 
C)  III only 
D)  I and II only 
E)  I, II, and III 
A)  I only 
B)  II only 
C)  III only 
D)  I and II only 
E)  I, II, and III

Question 15

The result of disaggregating the aggregate operations plan is the:

Accepted Answer

A)  marketing plan. 
B)  production plan. 
C)  rough-cut capacity plan. 
D)  master production schedule. 
E)  material requirements plan. 
A)  marketing plan. 
B)  production plan. 
C)  rough-cut capacity plan. 
D)  master production schedule. 
E)  material requirements plan.

Question 16

Which one of the following would not be considered a decision option for the purpose of aggregate operations planning?

Accepted Answer

A)  Inventory levels 
B)  Manpower levels 
C)  Pricing 
D)  Production costs 
E)  Promotion 
A)  Inventory levels 
B)  Manpower levels 
C)  Pricing 
D)  Production costs 
E)  Promotion

Question 17

An example of a capacity option in aggregate operations planning is stockpiling inventories.

Accepted Answer

A) True 
 B)False

Question 18

Available-to-promise (ATP)inventory for the first week is equal to the beginning inventory plus planned production quantity,if any,less the committed customer orders before the next planned production quantity.

Accepted Answer

A) True 
 B)False

Question 19

Which of the following is a consideration in the decision to use hiring and laying off permanent full-time workers as a capacity option?

Accepted Answer

A)  Union contract restrictions 
B)  Nature of the operation regarding accommodating changes in staffing levels 
C)  Available supply of workers 
D)  Skill level of workers 
E)  All of the choices are considered 
A)  Union contract restrictions 
B)  Nature of the operation regarding accommodating changes in staffing levels 
C)  Available supply of workers 
D)  Skill level of workers 
E)  All of the choices are considered

Question 20

Which one of the following is not a basic option for altering demand?

Accepted Answer

A)  Promotion 
B)  Backordering 
C)  Pricing 
D)  Subcontracting 
E)  All are demand options 
A)  Promotion 
B)  Backordering 
C)  Pricing 
D)  Subcontracting 
E)  All are demand options

Exam 13: Aggregate Operations Planning

Inventory information for firm ABC: What was the inventory at the end of March,2014?

For each product in the schedule,which of the following are outputs from the master production schedule? I.Planned production II.Available-to-promise (ATP)inventory III.Beginning inventory levels IV.Demand forecasts

Sales and operations planning is typically performed once a year with monthly updates.

In using the "chase demand strategy" variations in demand could be met by:

The use of tables and charts in aggregate operations planning enables planners to develop and compare alternative production plans.

Linear programming models used to produce an aggregate operations plan: I.are based on a total cost formula as a linear objective function. II.is the most widely used technique for aggregate operations planning. III.establishes an optimal (least cost)solution (if it exists).

Essentially,the output of aggregate operations planning is:

The master production schedule indicates the quantity and timing for planned production of an item.

After the first period of the planning horizon,available-to-promise (ATP)inventory is computed only for those periods in which there is a planned production quantity.

Which of the following is not a basic option for altering the availability of capacity in service?

One area that aggregate operations planning decisions relate to is:

For aggregate planning,groups of similar products are lumped together and treated as equivalent products for planning purposes.

Trial and error methods are commonly used by aggregate operations planners in developing aggregate operations plans.

Aggregate operations planners seek to match supply and demand: I.at minimum overall cost. II.by staying within company policy. III.keeping inventories at a minimum.

The result of disaggregating the aggregate operations plan is the:

Which one of the following would not be considered a decision option for the purpose of aggregate operations planning?

An example of a capacity option in aggregate operations planning is stockpiling inventories.

Available-to-promise (ATP)inventory for the first week is equal to the beginning inventory plus planned production quantity,if any,less the committed customer orders before the next planned production quantity.

Which of the following is a consideration in the decision to use hiring and laying off permanent full-time workers as a capacity option?

Which one of the following is not a basic option for altering demand?

Introduction to Operations Management

Competitiveness, Strategic Planning, and Productivity

Demand Forecasting

A: Product Design

B: Product Design

A: Strategic Capacity Planning

B: Strategic Capacity Planning

A: Process Design and Facility Layout

B: Process Design and Facility Layout

A: Design of Work Systems

B: Design of Work Systems

A: Location Planning and Analysis

B: Location Planning and Analysis

Management of Quality

A: Statistical Quality Control

B: Statistical Quality Control

Supply Chain Management

Inventory Management

Material Requirements Planning and Enterprise Resource Planning

A: Just-In-Time and Lean Production

B: Just-In-Time and Lean Production

Job and Staff Scheduling

Project Management

A: Waiting-Line Analysis

B: Waiting-Line Analysis

Filters