When starting up a new system, without the clear goal of achieving a flow shop, it is more likely that a job shop will result.  Why? (Points : 1)                                          It is easier to settle for a job shop that offers good profits than to persevere for a flow shop that has potential for even more profits, but with much more setup work and risk.

                                   Some goods and many services cannot be produced by a flow shop. Often, demand is insufficient.

                                    Modular product design is easy to achieve and the result is a job shop by default.

                                    a and b

                                    b and c

Question 4. 4. Learning curves are defined as prescriptions for determining (Points : 1)                                 expected outcome values.

                                    finite production schedules.

                                    optimal use of resources.

                                    the decrease in time required to do a job after doing that job n times.

                           Question 5. 5. A poor facility location decision model would be a(an) (Points : 1)                                 best location model.

                                    distance traveled model.

                                    center of gravity model.

                                    advantage of proximity model.

                                    president’s preference model.

  The cost of materials is often less crucial than (Points : 1)                                          project completion date.

                                    on-time delivery.

                                    carrying costs.

                                    out-of-stock costs.

                                    all of the above

Question 8. 8. The ABC classification for materials is best described as the (Points : 1)                                 probability of parts failing in rank order from highest to lowest.

                                    inventory items in rank order by dollar volume from highest to lowest.

                                    the important many and the trivial few.

                                    the trivial many versus the even more trivial few.

                           Question 9. 9. Slack is best calculated as: (Points : 1)                                 V/Vcapacity + W/Wcapacity

                                    V/Vcapacity – W/Wcapacity

                                    1 – V/Vcapcity - W/Wcapacity

                                    1 – V/Vcapacity + W/Wcapacity

                           Question 10. 10. What is one of the limitations of the transportation model? (Points : 1)                                 special location-based costs

                                    production efficiency differentials

                                    does not allow discounts

                                    transportation costs