Question 1

Assume that x is a random number between 0 and 1,and that the number of units expected to be sold is uniformly distributed between 300 and 500.In this case,sales are given by the expression

Accepted Answer

A) 300 + x. 
B) 500 - x. 
C) 300 + 200 x. 
D) 500 - 200 x.

Question 2

Analysts often plan a simulation so that the confidence interval for the mean of some important output will be sufficiently narrow.The reasoning is that narrow confidence intervals imply more precision about the estimated mean of the output variable.

Accepted Answer

A) True 
 B)False

Question 3

A probability distribution is bounded if there are values A and B such that

Accepted Answer

A) A and B represent the 95% confidence interval. 
B) A and B are the mean and standard deviation,respectively. 
C) A and B are the mean and variance,respectively. 
D) no value can be less than A or greater than B.

Question 4

@RISK introduces uncertainty explicitly into a spreadsheet model by allowing several inputs to have probability distributions and then enabling the simulation of random values from these inputs.

Accepted Answer

A) True 
 B)False

Question 5

Discrete distributions are sometimes used as approximations of continuous distributions

Accepted Answer

A) because they are more accurate. 
B) because they are simpler. 
C) when the mean and variance of the distribution are unknown. 
D) when the shape of the continuous distribution is not symmetric.

Question 6

The "building blocks" of all spreadsheet simulation models are

Accepted Answer

A) deterministic inputs. 
B) random numbers between 0 and 1. 
C) decision variables. 
D) probability distributions for uncertain input variables.

Question 7

Sometimes it is convenient to treat a discrete probability distribution as continuous,and vice versa.

Accepted Answer

A) True 
 B)False

Question 8

A probability distribution is bounded if there are values A and B such that only one possible value can be less than A or greater than B.

Accepted Answer

A) True 
 B)False

Question 9

If we want to model the time it takes to serve a customer at a bank,we will probably choose a(n)_____ distribution.

Accepted Answer

A) symmetric 
B) positively skewed 
C) negatively skewed 
D) unbounded

Question 10

Which statement is true regarding the normal distribution?

Accepted Answer

A) It is always the appropriate distribution in simulation modeling. 
B) It does not permit negative values. 
C) There is a 95% chance that values will be within ± 2 standard deviations of the mean. 
D) It models bimodal distributions well.

Question 11

If we want to model the monthly return on a stock,a good option would be a:

Accepted Answer

A) symmetric distribution around 0. 
B) positively skewed distribution. 
C) negatively skewed distribution. 
D) bimodal distribution.

Question 12

It is simple to generate a uniformly distributed random number with a minimum and maximum other than 0 and 1.For example,the formula = 150+100  RAND()generates a number uniformly distributed between

Accepted Answer

A) 100 and 150. 
B) 150 and 250. 
C) 50 and 100. 
D) 50 and 250.

Question 13

Each different set of values obtained for the uncertain quantities in a simulation model are considered to be

Accepted Answer

A) the mean of the probability distribution. 
B) a scenario. 
C) a best guess. 
D) a trial.

Question 14

When n is reasonably large and p isn't too close to 0 or 1,the binomial distribution can be well approximated by which of the following distributions?

Accepted Answer

A) Uniform distribution 
B) Normal distribution 
C) Triangular distribution 
D) Exponential distribution

Question 15

We typically choose between a symmetric and skewed distribution on the basis of realism.

Accepted Answer

A) True 
 B)False

Question 16

The three parameters required to specify a triangular distribution are the minimum,mean,and maximum.

Accepted Answer

A) True 
 B)False

Question 17

The binomial distribution can be well approximated by the normal distribution when the number of trials n is sufficiently small and the probability of success p is not too close to 0 or 1.

Accepted Answer

A) True 
 B)False

Question 18

A probability distribution is continuous if its possible values fall along some continuum.

Accepted Answer

A) True 
 B)False

Exam 15: Introduction to Simulation Modeling

Assume that x is a random number between 0 and 1,and that the number of units expected to be sold is uniformly distributed between 300 and 500.In this case,sales are given by the expression

Analysts often plan a simulation so that the confidence interval for the mean of some important output will be sufficiently narrow.The reasoning is that narrow confidence intervals imply more precision about the estimated mean of the output variable.

A probability distribution is bounded if there are values A and B such that

@RISK introduces uncertainty explicitly into a spreadsheet model by allowing several inputs to have probability distributions and then enabling the simulation of random values from these inputs.

Discrete distributions are sometimes used as approximations of continuous distributions

The "building blocks" of all spreadsheet simulation models are

Sometimes it is convenient to treat a discrete probability distribution as continuous,and vice versa.

A probability distribution is bounded if there are values A and B such that only one possible value can be less than A or greater than B.

If we want to model the time it takes to serve a customer at a bank,we will probably choose a(n) _____ distribution.

Which statement is true regarding the normal distribution?

If we want to model the monthly return on a stock,a good option would be a:

It is simple to generate a uniformly distributed random number with a minimum and maximum other than 0 and 1.For example,the formula = 150+100 RAND() generates a number uniformly distributed between

Each different set of values obtained for the uncertain quantities in a simulation model are considered to be

When n is reasonably large and p isn't too close to 0 or 1,the binomial distribution can be well approximated by which of the following distributions?

We typically choose between a symmetric and skewed distribution on the basis of realism.

The three parameters required to specify a triangular distribution are the minimum,mean,and maximum.

The binomial distribution can be well approximated by the normal distribution when the number of trials n is sufficiently small and the probability of success p is not too close to 0 or 1.

A probability distribution is continuous if its possible values fall along some continuum.