BUSI 411 Exam 4 and Answers Operations Management Liberty University GradeAplus

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Question 1 The Operations Manager for Shadyside Savings & Loan orders cash from her home office for her very popular "BIG BUCKS" automated teller machine, which only dispenses $100 bills. She estima... tes that this machine dispenses an average of 12,500 bills per month, and that carrying a bill in inventory costs 10 percent of its value annually. She knows that each order for these bills costs $300 for clerical and armored car delivery costs, and that order lead time is six days. Assuming a 30-day month, if she were to order 6,000 bills at a time, what would be the average monthly total costs, EXCLUDING the value of the bills? Question 2 The materials manager for a billiard ball maker must periodically place orders for resin, one of the raw materials used in producing billiard balls. She knows that manufacturing uses resin at a rate of 50 kilograms each day, and that it costs $.04 per day to carry a kilogram of resin in inventory. She also knows that the order costs for resin are $100 per order, and that the lead time for delivery is four days. What is the economic order quantity for resin? Question 3 Which of the following is least likely to be included in order costs? Question 4 A cycle count program will usually require that A items be counted: Question 5 The Operations Manager for Shadyside Savings & Loan orders cash from her home office for her very popular "BIG BUCKS" automated teller machine, which only dispenses $100 bills. She estimates that this machine dispenses an average of 12,500 bills per month, and that carrying a bill in inventory costs 10 percent of its value annually. She knows that each order for these bills costs $300 for clerical and armored car delivery costs, and that order lead time is six days. Assuming a 30-day month, what is the economic order quantity? Question 6 A lean-systems method of asking questions about a process is the __________ approach. Question 7 When lean is used in the context of services, which of the following is most often the focus? Question 8 Although lean systems tend to produce standardized product lines, to provide production variety without accompanying waste, lean producers often use __________ in __________. Question 9 Which of the following is not something commonly found in lean systems? (I) Waste reduction (II) Output match to a detailed forecast (III) Visual controls (IV) Quick changeovers (V) Long production runs Question 10 Managers considering an operations strategy reflecting the lean philosophy of operations should recognize that lean: Question 11 A factor that makes it desirable for business organizations to actively manage their supply chains is: Question 12 Which of the following is not an application of E-business? Question 13 Which of the following is a barrier to the integration of separate organizations in the supply chain? (I) conflicting objectives of the companies in the chain (II) different capacity levels of the companies in the chain (III) reluctance of the organizations in the chain to allow other organizations access to their data Question 14 RFID chips: (I) are used to track goods in distribution. (II) are used to track job progress in production. (III) are used to provide special instructions to operators. (IV) can be used in inventory record keeping. Question 15 Which of the following is least likely to be a key consideration when a company chooses a supplier? Question 16 The priority rule which will sequence jobs in the order they are received is: Question 17 Which sequencing rule is designed specifically to minimize job tardiness? Question 18 Scheduled due dates are the result of: Question 19 The owner/operator of the local franchise of Handyman, Inc., has four jobs to do today, shown in the order they were received: Job Processing Time (hrs) Due (hrs from now) W 4 4 X 3 5 Y 2 2 Z 1 1 If he uses the shortest processing time first priority rule to schedule these jobs, what will be the average job tardiness? Question 20 The following matrix shows relative costs for various job-machine combinations. Assume there must be one-to-one matching between jobs and machines. Which set of pairs constitutes the minimum-cost solution using the assignment method? Machine A B C Job 1 $ 6 0 0 2 0 3 4 3 0 1 2 Question 21 Profit margins tend to be inversely related to inventory turns. Question 22 Using third-party logistics involves using your organization's logistics function to ship to customers that are not officially part of the supply chain. Question 23 Centralized or decentralized purchasing is directly related to the size of an organization. Question 24 The assignment model seeks an optimum matching of tasks and resources. Question 25 Priority rules are widely used to sequence jobs in high-volume systems. [Show More]

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