Question 1

Which of the following aggregate planning strategies is a demand option?

Accepted Answer

A) changing price 
B) subcontracting 
C) varying production levels 
D) changing inventory levels 
E) using part-time workers 
A) changing price 
B) subcontracting 
C) varying production levels 
D) changing inventory levels 
E) using part-time workers

Question 2

The use of part-time workers as an aggregate planning option may be less costly than using full-time workers,but it may also reduce quality levels.

Accepted Answer

A) True 
 B)False

Question 3

The level scheduling strategy allows lower inventories than the pure chase strategy.

Accepted Answer

A) True 
 B)False

Question 4

Osprey Machine Works has the following demand requirements and other data for the upcoming four quarters.
   What is the total cost of pursuing a level aggregate plan over the coming year?

Accepted Answer

Requirements total 9400 units,

Question 5

A manager is applying the transportation model of linear programming to solve an aggregate planning problem.Demand in period 1 is 100 units,and in period 2,demand is 150 units.The manager has 125 hours of regular employment available for $10/hour each period.In addition,50 hours of overtime are available for $15/hour each period.If holding costs are $2 per unit each period,how many hours of regular employment should be used in period 1? (Assume demand must be met in both periods 1 and 2 for the lowest possible cost and that production is 1 unit per hour. )

Accepted Answer

A) 100 
B) 125 
C) 150 
D) 50 
E) none of the above 
A) 100 
B) 125 
C) 150 
D) 50 
E) none of the above

Question 6

In aggregate planning,the amount of overtime and the size of the work force are both adjustable elements of capacity.

Accepted Answer

A) True 
 B)False

Question 7

Normally,the transportation model is used to solve problems involving several physical sources of product and several physical uses of the product,as in factories and warehouses.How is it possible to use the transportation model where the "routes" are from one time period to another? Describe how this provides aggregate planners with a usable mathematical model.

Accepted Answer

Time travel is not involved."From" regul

Question 8

One of the four things needed for aggregate planning is a logical overall unit for measuring sales and output.

Accepted Answer

A) True 
 B)False

Question 9

One question that operations managers must answer when generating an aggregate plan is whether prices or other factors should be changed to influence demand.

Accepted Answer

A) True 
 B)False

Question 10

Revenue management is MOST likely to be used in which one of the following situations?

Accepted Answer

A) a fast food restaurant with wide demand fluctuations during the day 
B) a dental clinic that wants to fill its appointment book 
C) a firm with a good counterseasonal product mix 
D) a shipping company that can change its fleet size easily 
E) an airline attempting to fill "perishable" seats at maximum revenue 
A) a fast food restaurant with wide demand fluctuations during the day 
B) a dental clinic that wants to fill its appointment book 
C) a firm with a good counterseasonal product mix 
D) a shipping company that can change its fleet size easily 
E) an airline attempting to fill "perishable" seats at maximum revenue

Question 11

A hotel room that goes unrented and an airline seat that goes unsold are both examples of perishable inventory in services.

Accepted Answer

A) True 
 B)False

Question 12

Which of these is among the demand options of aggregate planning?

Accepted Answer

A) subcontracting 
B) back-ordering during high-demand periods 
C) changing inventory levels 
D) varying workforce size 
E) varying production rates through overtime or idle time 
A) subcontracting 
B) back-ordering during high-demand periods 
C) changing inventory levels 
D) varying workforce size 
E) varying production rates through overtime or idle time

Question 13

A small private university normally charges the same price -$200-per credit-hour for all courses and for all students.While the university is pretty near capacity in the fall and spring,it finds that its classrooms are only about 60 percent occupied during the summer session.A student of operations management wonders if revenue management might be useful to both the university and its students alike.This student,with help from some economics majors,estimates a demand curve for summer course enrollment.Points on this demand curve include 9000 credit-hours at the current rate of $200,12,000 credit hours at $180,15,000 credit-hours at $160,and 18,000 credit-hours at $140.Based on this demand curve,what price point would best serve the university,if its objective is the greatest revenue for the summer session?

Accepted Answer

The student must consider that since 900

Question 14

Fairview Industries is preparing its aggregate plan for the second half of the year.The table below contains monthly demand estimates and working days per month.Complete the table by computing total demand,demand per day (for each month),and the average requirement (in units per day)over the six-month planning horizon.Prepare a graph of forecast demand and level production,by months,for the planning period.Label your graph carefully.

Accepted Answer

The answer of Fairview Industries is preparing its aggregate plan...

Question 15

Industries in which revenue management techniques are easiest to apply are those where:

Accepted Answer

A) use tends to be predictable,and pricing tends to be fixed. 
B) use tends to be predictable,and pricing tends to be variable. 
C) use tends to be uncertain,and pricing tends to be fixed. 
D) use tends to be uncertain,and pricing tends to be variable. 
E) All of the above,i.e. ,there is no difference. 
A) use tends to be predictable,and pricing tends to be fixed. 
B) use tends to be predictable,and pricing tends to be variable. 
C) use tends to be uncertain,and pricing tends to be fixed. 
D) use tends to be uncertain,and pricing tends to be variable. 
E) All of the above,i.e. ,there is no difference.

Question 16

Which of the following is NOT an advantage of level scheduling?

Accepted Answer

A) stable employment 
B) lower absenteeism 
C) matching production exactly with sales 
D) lower turnover 
E) more employee commitment 
A) stable employment 
B) lower absenteeism 
C) matching production exactly with sales 
D) lower turnover 
E) more employee commitment

Question 17

Identify the five conditions that make revenue management of interest.

Accepted Answer

(1)service or product can be s

Question 18

________ is a capacity option that works especially well in the service sector where labor needs are relatively unskilled.

Accepted Answer

Using part

Question 19

To use revenue management strategies,a business should have which combination of costs?

Accepted Answer

A) high variable and high fixed 
B) low variable and high fixed 
C) high variable and low fixed 
D) low variable and low fixed 
E) either A or B 
A) high variable and high fixed 
B) low variable and high fixed 
C) high variable and low fixed 
D) low variable and low fixed 
E) either A or B

Question 20

What is the primary management challenge when implementing revenue management?

Accepted Answer

Identifying differen

Exam 13: Aggregate Scheduling

Which of the following aggregate planning strategies is a demand option?

The use of part-time workers as an aggregate planning option may be less costly than using full-time workers,but it may also reduce quality levels.

The level scheduling strategy allows lower inventories than the pure chase strategy.

Osprey Machine Works has the following demand requirements and other data for the upcoming four quarters. What is the total cost of pursuing a level aggregate plan over the coming year?

In aggregate planning,the amount of overtime and the size of the work force are both adjustable elements of capacity.

One of the four things needed for aggregate planning is a logical overall unit for measuring sales and output.

One question that operations managers must answer when generating an aggregate plan is whether prices or other factors should be changed to influence demand.

Revenue management is MOST likely to be used in which one of the following situations?

A hotel room that goes unrented and an airline seat that goes unsold are both examples of perishable inventory in services.

Which of these is among the demand options of aggregate planning?

Industries in which revenue management techniques are easiest to apply are those where:

Which of the following is NOT an advantage of level scheduling?

Identify the five conditions that make revenue management of interest.

________ is a capacity option that works especially well in the service sector where labor needs are relatively unskilled.

To use revenue management strategies,a business should have which combination of costs?

What is the primary management challenge when implementing revenue management?

Operations and Productivity

The Global Environment and Operations Strategy

Managing Projects

Forecasting Demand

Product Design

Quality Management and International Standards

Process Design

Location Decisions

Layout Decisions

Job Design and Work Measurement

Supply Chain Management

Managing Inventory

Material Requirements Planning Mrpand Erp

Scheduling for the Short-Term

Jit,lean Operations,and the Toyota Production System

Maintenance and Reliability Decisions

Sustainability

Statistical Process Control

Capacity Planning

Supply Chain Modeling

Decision Modeling

Linear Programming Models

Transportation Modeling

Queuing Models

Learning Curves

Modeling with Simulation

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