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Question 1

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Which of the following best describes aggregate operations planning?
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Linking long term capacity decisions with intermediate term production

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An employee scheduling technique

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Integrating several planning techniques to develop an MPS

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Using predicted demand to plan the general levels of employment, output, and inventories
required

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An operations plan to support sales forecasting

Question 2

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In MRP, under lot-for-lot ordering, the size of "planned-order receipts" are equal to:

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"gross requirements."

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"planned-order releases."

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"scheduled receipts."

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open orders already scheduled to be delivered.

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None of the choices.

Question 3

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One option in aggregate planning that shifts the pattern of demand from one period to another
is:

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backorders.

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overtime.

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subcontracting.

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inventories.

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part-time workers.

Question 4

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The input used in MRP that lists the assemblies, subassemblies, parts, and raw materials
needed to produce one unit of finished product is the:

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assembly-time chart.

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master production schedule.

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bill of material.

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inventory-records.

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net-requirements chart.

Question 5

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Which one of the following is not an input in an MRP system?

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Inventory on-hand, open orders and lead times

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Master production schedules

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Bill of materials

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Planned-order releases

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All are inputs

Question 6

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Which of the following is not a basic option for altering the availability of capacity in
service?

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Hiring/layoff

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Inventory

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Overtime

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Part time

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All of these are basic options

Question 7

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That portion of projected inventory which enables marketing to make realistic commitments
about delivery dates for new orders is:

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available-to-promise inventory.

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safety stock inventory.

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marketable inventory.

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None of the choices.

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beginning inventory.

Question 8

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Aggregate operations planners balance actions that influence:

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capacity and demand.

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demand and inventories.

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demand and costs.

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capacity and inventories.

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capacity and costs.

Question 9

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Which of the following business is the best example of a job shop?

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A business that assists laid off workers to retrain for new employment

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A company that makes cell phone cases for sale on the internet

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A contractor that builds cottages in a lakeside community

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A clinic where a surgeon performs cosmetic surgery for patients

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An automaker provides customers the ability to customize interiors

Question 10

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What type of process would be used for high volume, highly standardized product that is non-
discrete?

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Intermittent

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Job shop

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Continuous

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Batch

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Project

Question 11

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Which of the following is NOT true regarding a Project type of process?

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One single output upon project completion

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Small batches of identical product are completed

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Consists of many complex related steps

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Requires workers with many types of skill and abilities

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Each project tends to be highly customized

Question 12

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The hierarchical diagram that depicts the subassemblies and components that are needed to
produce and/or assemble a product is called a(n):

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assembly time chart.

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product structure tree.

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MRP II.

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pegging.

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none of the choices.

Question 13

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A process designed to handle purchasing and scheduling the production of dependent-demand

components is:

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economic order quantity (EOQ).

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lot-for-lot (LFL).

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economic part-period (EPP).

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economic run size (ERS).

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material requirements planning (MRP).

Question 14

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Which one of the following is not a basic option for altering demand?

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Promotion

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Subcontracting

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Pricing

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Backordering

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All are demand options

Question 15

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Given the following information:

WEEK 1 2 3 4 5 6 7 8
5 5 6 6 8 8 9 9
Forecast
0 0 5 0 0 0 0 0
Customer
5 4 3 2 1
Orders 7 4 0
5 6 0 5 0
(committed)
Projected
on-hand
inventory
Planned
Production
ATP
Inventory
(uncommitte
 d)
.

. The beginning inventory is 75 units

. The MPS (Master Production Scheduling) rule is to schedule production whenever the
projected-on-hand inventory drops below 10 units
. The production lot (run) size is 110 units
If projected on-hand inventory for week 5 is 95, what are the planned production levels for
weeks 6, 7, and 8?
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110, 0, 110

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0, 110, 0

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110, 110, 0

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0, 110, 110

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0, 0, 110

Question 16
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2/2

Given the following information:

WEEK 1 2 3 4 5 6 7 8
5 5 6 6 8 8 9 9
Forecast
0 0 5 0 0 0 0 0
Customer
5 4 3 2 1
Orders 7 4 0
5 6 0 5 0
(committed)
Projected
on-hand
inventory
Planned
Production
ATP
 Inventory
(uncommitte
d)
.

. The beginning inventory is 75 units

. The MPS (Master Production Scheduling) rule is to schedule production whenever the
projected-on-hand inventory drops below 10 units
. The production lot (run) size is 110 units
What is the projected on-hand inventory for week 4?
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0

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50

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65

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100

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None of these choices

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Question 17

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The Elora Manufacturing Company has just received an order for 350 new end tables (T),
which must be ready for pickup on week 6. The product structure, lead times and existing
inventories are listed in the following table:

Lead
On-hand Direct
Ite Time
Inventor Component
m (weeks
y s
)
T 1 20 X (2)
Y (3) & Z
X 2 150
(2)
Y 2 345 -
Z 1 419 -
.

What is the net requirement for Ys to fill this order?

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2050

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158

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1405

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1185

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180

Question 18

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The Elora Manufacturing Company has just received an order for 350 new end tables (T),
which must be ready for pickup on week 6. The product structure, lead times and existing
inventories are listed in the following table:

Lead
On-hand Direct
Ite Time
Inventor Component
m (weeks
y s
)
T 1 20 X (2)
Y (3) & Z
X 2 150
(2)
Y 2 345 -
Z 1 419 -
.

What is the planned order release for item Y?

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2000

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1800

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1600

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2100

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None of these choices

Question 19

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Given an ordering (setup) cost of $150, a per-period holding cost of $0.25 (per unit), and the
following requirements schedule:

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Period 1 2 3 4 5 6
Demand 240 160 160 140 200 120
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If the ordering cost increases by $10 per order (i.e., the new ordering cost = $160), what is the
part-period method lot size of the order for the first period?

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240

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400

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560

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700

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900
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Question 20

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Given an ordering (setup) cost of $150, a per-period holding cost of $0.25 (per unit), and the
following requirements schedule:

Period 1 2 3 4 5 6
Demand 240 160 160 140 200 120
.

Using the part-period method, which of the following is not a possible lot size for
consideration if we are planning for the period 3?

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160

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200

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350

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500

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620

Question 21

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Given an ordering (setup) cost of $150, a per-period holding cost of $0.25 (per unit), and the
following requirements schedule:

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Period 1 2 3 4 5 6
Demand 240 160 160 140 200 120
.

What is the part-period method lot size of the order for the first period?

Show answer choices

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240

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400

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560

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700

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900