WGU C720 UPDATED PRACTICE EXAM QUESTIONS AND
SOLUTIONS GUARANTEE A+
✔✔product layout - ✔✔in this layout, production rates are typically expressed in units
per time period
✔✔design capacity - ✔✔maximum achievable output of a process or system, based on
what a firm can produce under ideal conditions for a short period of time
✔✔effective capacity - ✔✔maximum capacity under realistic conditions (product mix,
equipment chang overs, downtime)
✔✔economy of scope - ✔✔requires flexibility within the organization to produce a
variety of products
✔✔economy of scale - ✔✔ability to produce more goods at lower cost by better utilizing
the same fixed cost
✔✔capacity utilization - ✔✔actual output/design capacity
✔✔efficiency - ✔✔actual output/effective capacity
✔✔true - ✔✔continuous flow and assembly lines have high fixed costs and low variable
costs
✔✔true - ✔✔a job shop produces different products on general-purpose machines
using skilled labor
✔✔true - ✔✔job shops have low fixed costs and high unit-variable costs
✔✔product facility strategy - ✔✔which facility strategy should you use when production
processes are complex and require skilled workers because duplication would be
expensive?
✔✔Run Charts and Control Charts - ✔✔a quality improvement team is trying to illustrate
how a process is varying over time as measurements are collected. What two SPC tools
should they use?
✔✔control chart (to measure time elapsed to completion) and run chart (to chart output
around the 14 day tendency) - ✔✔a garage door company's operations manager is
responsible for completing installations in a 14 day period after the sale. what two tools
should ops manager use to measure installer performance?
, ✔✔Juran's Institute Management theory - ✔✔which quality management philosophy
assigns cost to quality, defines quality by how well a product can be used for intended
purpose, and uses Pareto charts?
✔✔weighted moving average using patient referral data - ✔✔hospital needs to
determine how many beds to make available for exam rooms and OR's. they will be
getting more referrals form specialists at a new clinic. what should the admin use to
forecast how many beds to make available, given the increased number of patients?
✔✔general purpose machines - ✔✔what equipment can be used in JIT environment to
reduce setup time?
✔✔decrease in overhead costs - ✔✔what competitive advantage would a company gain
from having suppliers managing inventory within the company's facilities?
✔✔outsourcing - ✔✔aircraft manufacturer has many highly complex sub assemblies like
seats, cockpits, engines, landing gear. it works with other manufacturers to design and
build these parts while doing project management and final assembly themselves.
which supply chain integration strategy is the aircraft manufacturer using?
✔✔frequent rain and high employee turnover - ✔✔A lawn mowing service contracts with
homeowners and businesses to cut grass during the growing season. There are several
elements that affect a lawn mowing service, such as rainy weather, employee turnover,
fuel prices, and maintenance repairs that can compress the amount of resources
available on any given day. which two factors could create bottlenecks?
✔✔suppliers help develop new products that can better meet individual customer needs
- ✔✔what is a characteristic of an agile supply chain?
✔✔quantity discount model - ✔✔Imelda Company wants to minimize the total of their
ordering costs and holding costs. However, they also understand that ordered items
usually cost less per unit when purchased by the case rather than individually. Which
inventory management model should they use?
✔✔quantity discount model - ✔✔a retail store is planning to place a large order. their
suppliers will offer a lower price per unit for a large order. which model will help the
store decide the optimal quantity to order?
✔✔production order quantity model - ✔✔a computer company assembles computers to
meet market demand. which inventory model should the company adopt to minimize the
total setup cost and carrying cost?
✔✔Juran - ✔✔emphasized that quality must be built on three elements: quality
planning, quality control, quality improvement
SOLUTIONS GUARANTEE A+
✔✔product layout - ✔✔in this layout, production rates are typically expressed in units
per time period
✔✔design capacity - ✔✔maximum achievable output of a process or system, based on
what a firm can produce under ideal conditions for a short period of time
✔✔effective capacity - ✔✔maximum capacity under realistic conditions (product mix,
equipment chang overs, downtime)
✔✔economy of scope - ✔✔requires flexibility within the organization to produce a
variety of products
✔✔economy of scale - ✔✔ability to produce more goods at lower cost by better utilizing
the same fixed cost
✔✔capacity utilization - ✔✔actual output/design capacity
✔✔efficiency - ✔✔actual output/effective capacity
✔✔true - ✔✔continuous flow and assembly lines have high fixed costs and low variable
costs
✔✔true - ✔✔a job shop produces different products on general-purpose machines
using skilled labor
✔✔true - ✔✔job shops have low fixed costs and high unit-variable costs
✔✔product facility strategy - ✔✔which facility strategy should you use when production
processes are complex and require skilled workers because duplication would be
expensive?
✔✔Run Charts and Control Charts - ✔✔a quality improvement team is trying to illustrate
how a process is varying over time as measurements are collected. What two SPC tools
should they use?
✔✔control chart (to measure time elapsed to completion) and run chart (to chart output
around the 14 day tendency) - ✔✔a garage door company's operations manager is
responsible for completing installations in a 14 day period after the sale. what two tools
should ops manager use to measure installer performance?
, ✔✔Juran's Institute Management theory - ✔✔which quality management philosophy
assigns cost to quality, defines quality by how well a product can be used for intended
purpose, and uses Pareto charts?
✔✔weighted moving average using patient referral data - ✔✔hospital needs to
determine how many beds to make available for exam rooms and OR's. they will be
getting more referrals form specialists at a new clinic. what should the admin use to
forecast how many beds to make available, given the increased number of patients?
✔✔general purpose machines - ✔✔what equipment can be used in JIT environment to
reduce setup time?
✔✔decrease in overhead costs - ✔✔what competitive advantage would a company gain
from having suppliers managing inventory within the company's facilities?
✔✔outsourcing - ✔✔aircraft manufacturer has many highly complex sub assemblies like
seats, cockpits, engines, landing gear. it works with other manufacturers to design and
build these parts while doing project management and final assembly themselves.
which supply chain integration strategy is the aircraft manufacturer using?
✔✔frequent rain and high employee turnover - ✔✔A lawn mowing service contracts with
homeowners and businesses to cut grass during the growing season. There are several
elements that affect a lawn mowing service, such as rainy weather, employee turnover,
fuel prices, and maintenance repairs that can compress the amount of resources
available on any given day. which two factors could create bottlenecks?
✔✔suppliers help develop new products that can better meet individual customer needs
- ✔✔what is a characteristic of an agile supply chain?
✔✔quantity discount model - ✔✔Imelda Company wants to minimize the total of their
ordering costs and holding costs. However, they also understand that ordered items
usually cost less per unit when purchased by the case rather than individually. Which
inventory management model should they use?
✔✔quantity discount model - ✔✔a retail store is planning to place a large order. their
suppliers will offer a lower price per unit for a large order. which model will help the
store decide the optimal quantity to order?
✔✔production order quantity model - ✔✔a computer company assembles computers to
meet market demand. which inventory model should the company adopt to minimize the
total setup cost and carrying cost?
✔✔Juran - ✔✔emphasized that quality must be built on three elements: quality
planning, quality control, quality improvement
