Q1: The relationship between the variables is directly proportional is called linear
Answer
Answer: Correct – True
Q2: The___must plan for and control the usage of various organizational resources namely, manpower, materials, production facilities and capital in the most effective manner to achieve the organization’s objectives
Answer
Answer: management
Q3: What are the types of questions used in Devising a Questionnaire
Answer
Answer: Dichotomous
Leading
Ambiguous
Ranking
Q4: It was introduced by George Dantzig in 1947 (Linear Programming)
Answer
Answer: Correct – True
Q5: Operating Decisions are concerned with structuring and acquisition of the organization’s resources so as to optimize the performance of the organization
Answer
Answer: Wrong – False
Q6: ___subdivides the activity into a number of strata
Answer
Answer: Disaggregate
Q7: Diagrams simplify data means
Answer
Answer: Diagrams are used to represent a huge mass of complex data in simplified and intelligible form which is easy to understand
Q8: The___problem is a special case of Linear Programming which is concerned with the distribution of a certainproduct/commodity from a number of sources (origins) to thenumber of destinations
Answer
Answer: transportation
Q9: Decision alternatives under control available to decision maker is called value system
Answer
Answer: Wrong – False
Q10: Demerits of observation method are
Answer
Answer: Some events cannot be observed without biases
Being a long drawn process, the techniques of observation areexpensive and time consuming
Sometimes the atmosphere tends to become artificial and thisleads to a sense of self-consciousness among the individualswho are being observed. This defeats the purpose of observation
The slowness of observation methods leads to dishearteningand disinterest among both the observer and observed
Q11: It is the average payoff per play of game over an extended of time is called___
Answer
Answer: Value of a game
Q12: ___programming has proved valuable for modelling many and diverse types of problems in planning, routing, scheduling, assignment, and design
Answer
Answer: Linear
Q13: Although primary data is required for most of the internalbusiness situations, many of the strategic decisions depend uponthe information that is external to the organization. The criticalityof the decision and the time factor involved would decide whether___data is to be used or the situation calls for primary data
Answer
Answer: secondary
Q14: When the player has alternative courses of action and he has to select combination of these with some fixed probabilities is called___
Answer
Answer: mixed strategy
Q15: Criteria that decision maker uses in decision making a choice of best course of action is states of nature
Answer
Answer: Wrong – False
Q16: The MAD for the following forecast versus actual sales figures is
Answer
Answer: 2.5
Q17: Given the following data, if MAD = 1.25, the actual demand in period 2 (A2) must have been 
Answer
Answer: A2 = 3 OR A2 = 5.
Q18: Consider the following linear programming problem
Which of the following points (X,Y) could be a feasible corner point
Answer
Answer: (120,0)
Q19: Consider the following linear programming problem
Which of the following points (X,Y) is feasible
Answer
Answer: (30,100)
Q20: Consider the following linear programming problem
Which of the following points (X,Y) is feasible
Answer
Answer: (60,30)
Q21: In labor planning formulation, how would you write the constraint that there are only 10 full-time tellers (labeled as T) available
Answer
Answer: T ≤ 10
Q22: vana Myrocle wishes to invest her inheritance of $100,000 so that her return on investment is maximized, but she also wishes to keep her risk level relatively low. She has decided to invest her money in any of three possible ways-CDs that pay a guaranteed 8 percent, stocks that have an expected return of 12 percent, and a money market mutual fund that is expected to return 10 percent. She has decided that the total $100,000 will be invested, but any part (or all) of it may be put in any of the three alternatives. Thus, she may have some money invested in all three alternatives. In formulating this as a linear programming problem, define the variables as follows:
C = dollars invested in CDs
S = dollars invested in stocks
M = dollars invested in money market mutual fund
What would the objective function be if the return on stock was twice the return on the CD, and the return on the money market was one and one-half times the return on the CD
Answer
Answer: Maximize C + 2S + 1.5M
Q23: Ivana Myrocle wishes to invest her inheritance of $100,000 so that her return on investment is maximized, but she also wishes to keep her risk level relatively low. She has decided to invest her money in any of three possible ways-CDs that pay a guaranteed 8 percent, stocks that have an expected return of 12 percent, and a money market mutual fund that is expected to return 10 percent. She has decided that the total $100,000 will be invested, but any part (or all) of it may be put in any of the three alternatives. Thus, she may have some money invested in all three alternatives. In formulating this as a linear programming problem, define the variables as follows:
C = dollars invested in CDs
S = dollars invested in stocks
M = dollars invested in money market mutual fund
Which of the following would be the most appropriate constraint in the linear programming problem
Answer
Answer: C + S + M ≤ 100000
Q24: Ivana Myrocle wishes to invest her inheritance of $100,000 so that her return on investment is maximized, but she also wishes to keep her risk level relatively low. She has decided to invest her money in any of three possible ways-CDs that pay a guaranteed 8 percent, stocks that have an expected return of 12 percent, and a money market mutual fund that is expected to return 10 percent. She has decided that the total $100,000 will be invested, but any part (or all) of it may be put in any of the three alternatives. Thus, she may have some money invested in all three alternatives. In formulating this as a linear programming problem, define the variables as follows:
C = dollars invested in CDs
S = dollars invested in stocks
M = dollars invested in money market mutual fund
Suppose Ivana has decided that the amount invested in stocks cannot exceed one-third of the total amount invested. Which is the best way to write this constraint
Answer
Answer: S ≤ (C + M + S)/3
Q25: Ivana Myrocle wishes to invest her inheritance of $100,000 so that her return on investment is maximized, but she also wishes to keep her risk level relatively low. She has decided to invest her money in any of three possible ways-CDs that pay a guaranteed 8 percent, stocks that have an expected return of 12 percent, and a money market mutual fund that is expected to return 10 percent. She has decided that the total $100,000 will be invested, but any part (or all) of it may be put in any of the three alternatives. Thus, she may have some money invested in all three alternatives. In formulating this as a linear programming problem, define the variables as follows:
C = dollars invested in CDs
S = dollars invested in stocks
M = dollars invested in money market mutual fund
Suppose Ivana has assigned the following risk factors to each investment instrument: CDs (C): 1.1; stocks (S): 4.7; money market mutual fund (M): 3.1. If Ivana decides that she wants the risk factor for the whole investment to be less than 3.4, how should the necessary constraint be written
Answer
Answer: (1.1C + 4.7S + 3.1M)/100000 ≤ 3.4
