The data below were gathered on two different machine centers and two products.Which item below would be part of a linear programming formulation of this problem?
Answer(s): C
The linear programming solution is subject to constraints on the availability of machine hours in both centers. For example, products A and B require 2.5 and 4 hours per unit, respectively, in Machine Center 1, but only 60 hours are available. Hence, the optimal production of A and B to the following constraint:2.5 A + 4B < 60
A firm must decide the mix of production of Product X and Product Y. There are only two resources used in the two products, resources A and B. Data related to the two products is given in the following table:What is the appropriate objective function to maximize profit?
The objective function is the function to be optimized. This firm wishes to maximize profits on the sales of two products X and Y). Based on profits per unit US $8 and US $6, respectively), the objective function is 8X + 6Y.
To remove the effect of seasonal variation from a time series, original data should be
Answer(s): D
Seasonal variations are common in many businesses. To remove the effect of seasonal variation from a time series, the original data with the four trends) is divided by the seasonal norm.
Sales representatives for a manufacturing company are reimbursed for 100 percent of their cellular telephone bills. Cellular telephone costs vary significantly from representative to representative and from month to month, complicating the budgeting and forecasting processes. Management has requested that the internal auditors develop a method for controlling these costs. Which of the following would most appropriately be included in the scope of the consulting project?
A business process review BPR) assesses the performance of administrative, financial, and other processes, such as those within the procurement and payables functions. BPR considers process effectiveness and efficiency, including the presence of appropriate controls, to mitigate business risk. It seeks to achieve improvements in such critical measures of performance as cost, quality, service, speed, and customer satisfaction. Because the objective is to control cellular phone costs, BPR is the appropriate tool.
The order costs associated with inventory management include
Order costs include purchasing costs, shipping costs, setup costs for a production run, and quantity discounts lost.
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