Question 1

Use the table below to answer the following question(s).
Below is a spreadsheet for a hotel overbooking model.
  
Answer the following question(s)using multiple parameterized simulations.The range of the historical data is 400-430.
-What is the number of reservations that will generate the least revenue?

Accepted Answer

A) 400 
B) 410 
C) 420 
D) 430

Question 2

Use the table below to answer the following question(s).
Below is the spreadsheet for an economic order quantity model.
  
Assume that the distribution of demand is normal with a mean of 20,000 and standard deviation of 2,000.
-What is the value of mean obtained from the simulation results?

Accepted Answer

A) 473.0 
B) 520.0 
C) 456.0 
D) 490.0

Question 3

Use the table below to answer the following question(s).
Below is a spreadsheet for Stone Age Surfboards.
  
Assume that the finishing time for a pair of Rockwell surfboards is triangular with a minimum value of 1.4, a most likely value of 1.5, and a maximum value of 1.8 and that finishing time for a pair of Limestone surfboards is also triangular with a minimum value of 1.8, a most likely value of 2.0, and a maximum value of 2.4.The number of trials per simulation is equal to 5000.
-Which of the following cells is defined with a triangular distribution?

Accepted Answer

A) B6 
B) D6 
C) B7 
D) D7

Question 4

Use the table below to answer the following question(s).
Below is a spreadsheet for a hotel overbooking model.
  
Answer the following question(s)using multiple parameterized simulations.The range of the historical data is 400-430.
-If there are 425 reservations and 5 overbooked customers, what is the net revenue generated?

Accepted Answer

A) $ 58,000 
B) $ 58,500 
C) $ 59,000 
D) $ 59,500

Question 5

What is a value at risk constraint?

Accepted Answer

The answer of What is a value at risk constraint?...

Question 6

Use the table below to answer the following question(s).
Below is a spreadsheet for Stone Age Surfboards.
  
Assume that the finishing time for a pair of Rockwell surfboards is triangular with a minimum value of 1.4, a most likely value of 1.5, and a maximum value of 1.8 and that finishing time for a pair of Limestone surfboards is also triangular with a minimum value of 1.8, a most likely value of 2.0, and a maximum value of 2.4.The number of trials per simulation is equal to 5000.
-What is the value of standard deviation obtained from the simulation results?

Accepted Answer

A) 1.21 
B) 2.50 
C) 3.80 
D) 5.00

Question 7

Use the table below to answer the following question(s).
The Atlas Movies Theater has repriced their ticket rates to maximize revenues.They have three classes of tickets: Classic, Silver, and Gold.The table below provides information on the average ticket sales, revenue and price elasticity on demand.They have a total seating capacity of 300.The table also provides the new price for the three classes obtained using Solver.
  
Assume the distributions of elasticities for three classes of tickets are uniform with minimum and maximum values equal to 75% and 125% of their estimated values, respectively.Under this assumption, use Monte Carlo simulation to answer the following questions.The model is simulated for 10,000 trials.
-Which of the following cells are defined to be uniformly distributed?

Accepted Answer

A) B7:B9 
B) C7:C9 
C) D7:D9 
D) B15:B17

Question 8

Use the table below to answer the following question(s).
The Atlas Movies Theater has repriced their ticket rates to maximize revenues.They have three classes of tickets: Classic, Silver, and Gold.The table below provides information on the average ticket sales, revenue and price elasticity on demand.They have a total seating capacity of 300.The table also provides the new price for the three classes obtained using Solver.
  
Assume the distributions of elasticities for three classes of tickets are uniform with minimum and maximum values equal to 75% and 125% of their estimated values, respectively.Under this assumption, use Monte Carlo simulation to answer the following questions.The model is simulated for 10,000 trials.
-What is the probability that more than 300 tickets will be sold?

Accepted Answer

A) approximately 0.75 
B) approximately 0.40 
C) approximately 0.60 
D) approximately 0.50

Question 9

Use the table below to answer the following question(s).
Below is the spreadsheet for a newsvendor model.
  
Answer the following question(s)using multiple parameterized simulations.The range of the historical data is 40 to 51.
-Which of the following values of purchase quantity shows the least mean profit?

Accepted Answer

A) 42 
B) 45 
C) 48 
D) 51

Question 10

Use the table below to answer the following question(s).
Below is a spreadsheet for a hotel overbooking model.
  
Answer the following question(s)using multiple parameterized simulations.The range of the historical data is 400-430.
-What is the number of reservations that will generate a net revenue of $59,000?

Accepted Answer

A) 400 
B) 410 
C) 420 
D) 430

Question 11

Use the table below to answer the following question(s).
Below is the spreadsheet for a project selection model.
 
-What is the value of standard deviation obtained from the simulation results? [Hint: Choose the approximate value.]

Accepted Answer

A) $ 89,236 
B) $ 177,334 
C) $ 236,745 
D) $ 107,892

Question 12

Use the table below to answer the following question(s).
Below is the spreadsheet for an economic order quantity model.
  
Assume that the distribution of demand is normal with a mean of 20,000 and standard deviation of 2,000.
-Which of the following cells is defined to be normally distributed using the function = PsiNormal(20000,2000)?

Accepted Answer

A) B5 
B) B6 
C) B7 
D) B12

Question 13

Use the table below to answer the following question(s).
The Atlas Movies Theater has repriced their ticket rates to maximize revenues.They have three classes of tickets: Classic, Silver, and Gold.The table below provides information on the average ticket sales, revenue and price elasticity on demand.They have a total seating capacity of 300.The table also provides the new price for the three classes obtained using Solver.
  
Assume the distributions of elasticities for three classes of tickets are uniform with minimum and maximum values equal to 75% and 125% of their estimated values, respectively.Under this assumption, use Monte Carlo simulation to answer the following questions.The model is simulated for 10,000 trials.
-What is the mean absolute deviation obtained from the simulation results?

Accepted Answer

A) 3 
B) 6 
C) 8 
D) 10

Question 14

Use the table below to answer the following question(s).
Below is a spreadsheet for a hotel overbooking model.
  
Answer the following question(s)using multiple parameterized simulations.The range of the historical data is 400-430.
-Which of the following is the best number of reservations to accept?

Accepted Answer

A) 400 
B) 410 
C) 420 
D) 430

Question 15

Use the table below to answer the following question(s).
Below is a spreadsheet for Stone Age Surfboards.
  
Assume that the finishing time for a pair of Rockwell surfboards is triangular with a minimum value of 1.4, a most likely value of 1.5, and a maximum value of 1.8 and that finishing time for a pair of Limestone surfboards is also triangular with a minimum value of 1.8, a most likely value of 2.0, and a maximum value of 2.4.The number of trials per simulation is equal to 5000.
-How often will overtime be needed if 4.5 Rockwell and 9.0 Limestone surfboards, the optimal solution, are scheduled each day?

Accepted Answer

A) more than 60% 
B) more than 87% 
C) more than 75% 
D) more than 52%

Question 16

Below is the spreadsheet for an economic order quantity model.
  
Assume that the distribution of demand is normal with a mean of 20,000 and standard deviation of 2,000.The increase in total cost is calculated by adding the holding cost and the ordering cost.

Accepted Answer

A) True 
 B)False

Question 17

Use the table below to answer the following question(s).
Below is the spreadsheet for a project selection model.
 
-What is the coefficient of variation obtained from the simulation results? [Hint: Choose the approximate value.]

Accepted Answer

A) 0.386 
B) 0.589 
C) 0.415 
D) 0.665

Question 18

Use the table below to answer the following question(s).
Below is the spreadsheet for an economic order quantity model.
  
Assume that the distribution of demand is normal with a mean of 20,000 and standard deviation of 2,000.
-Which of the following cells is defined as the uncertain output cell?

Accepted Answer

A) B13 
B) C15 
C) C19 
D) B22

Question 19

Use the table below to answer the following question(s).
Below is the spreadsheet for an economic order quantity model.
  
Assume that the distribution of demand is normal with a mean of 20,000 and standard deviation of 2,000.
-What is the coefficient of variation obtained from the simulation results?

Accepted Answer

A) 0.28 
B) 0.10 
C) 0.45 
D) 0.60

Question 20

What is a conditional value at risk constraint?

Accepted Answer

The answer of What is a conditional value at risk...

Exam 17: Optimization Models with Uncertainty

Use the table below to answer the following question(s) . Below is the spreadsheet for an economic order quantity model. Assume that the distribution of demand is normal with a mean of 20,000 and standard deviation of 2,000. -What is the value of mean obtained from the simulation results?

What is a value at risk constraint?

Use the table below to answer the following question(s) . Below is the spreadsheet for a project selection model. -What is the value of standard deviation obtained from the simulation results? [Hint: Choose the approximate value.]

Use the table below to answer the following question(s) . Below is a spreadsheet for a hotel overbooking model. Answer the following question(s) using multiple parameterized simulations.The range of the historical data is 400-430. -Which of the following is the best number of reservations to accept?

Below is the spreadsheet for an economic order quantity model. Assume that the distribution of demand is normal with a mean of 20,000 and standard deviation of 2,000.The increase in total cost is calculated by adding the holding cost and the ordering cost.

Use the table below to answer the following question(s) . Below is the spreadsheet for a project selection model. -What is the coefficient of variation obtained from the simulation results? [Hint: Choose the approximate value.]

Use the table below to answer the following question(s) . Below is the spreadsheet for an economic order quantity model. Assume that the distribution of demand is normal with a mean of 20,000 and standard deviation of 2,000. -Which of the following cells is defined as the uncertain output cell?

Use the table below to answer the following question(s) . Below is the spreadsheet for an economic order quantity model. Assume that the distribution of demand is normal with a mean of 20,000 and standard deviation of 2,000. -What is the coefficient of variation obtained from the simulation results?

What is a conditional value at risk constraint?