SOLUTIONS MANUAL
** All Chapters included
** Problems
** Case Problem
,Table of Contents are given below
Chapter 1. Introduction
Chapter 2. Introduction to Probability
Chapter 3. Probability Distributions
Chapter 4. Decision Analysis
Chapter 5. Utility and Game Theory
Chapter 6. Time Series Analysis and Forecasting
Chapter 7. Introduction to Linear Programming
Chapter 8. Linear Programming: Sensitivity Analysis and Interpretation of Solution
Chapter 9. Linear Programming Applications in Marketing, Finance, and Operations
Management
Chapter 10. Distribution and Network Models
Chapter 11. Integer Linear Programming
Chapter 12. Advanced Optimization Applications
Chapter 13. Project Scheduling: PERT/CPM
Chapter 14. Inventory Models
Chapter 15. Waiting Line Models
Chapter 16. Simulation
Chapter 17. Markov Processes
, Solution and Answer Guide: Jeffrey D. Camm, Quantitative Methods for Business, 14e, 2027, 9798214057569;
Chapter 1: Introduction
Solution and Answer Guide
JEFFREY D. CAMM, QUANTITATIVE METHODS FOR BUSINESS, 14E, 2027, 9798214057569;
CHAPTER 1: INTRODUCTION
TABLE OF CONTENTS
Problems.................................................................................................................................1
Case Problem: Scheduling a Youth Soccer League (Sports) ........................................... 11
PROBLEMS
1. Vocabulary (Other). Define the terms management science and operations research. LO 1
Solutions:
Management science and operations research, terms used almost interchangeably, are
broad disciplines that employ scientific methodology in managerial decision making or
problem solving. Drawing upon a variety of disciplines (behavioral, mathematical, etc.),
management science and operations research combine quantitative and qualitative
considerations in order to establish policies and decisions that are in the best interest
of the organization.
2. The Decision-Making Process (Analytics Skills). List and discuss the steps of the
decision-making process. LO 2
Solutions:
a. Define the problem.
b. Identify the alternatives.
c. Determine the criteria.
d. Evaluate the alternatives.
e. Choose an alternative.
f. For further discussion, see Section 1.1.
3. Roles of Qualitative and Quantitative Approaches to Decision Making (Analytics Skills).
Discuss the different roles played by the qualitative and quantitative approaches to
managerial decision making. Why is it important for a manager or decision maker to have a
good understanding of both of these approaches to decision making? LO 2
Solutions:
See Section 1.2.
1
, 4. Production Scheduling (Operations Management). A firm just completed a new plant that
will produce more than 500 different products, using more than 50 different production
lines and machines. The production scheduling decisions are critical in that sales will be
lost if customer demands are not met on time. If no individual in the firm has experience
with this production operation and if new production schedules must be generated each
week, why should the firm consider a quantitative approach to the production scheduling
problem? LO 2
Solutions:
A quantitative approach should be considered because the problem is large, complex,
important, new, and repetitive.
5. Advantages of Modeling (Analytics Skills). List the advantages of analyzing and
experimenting with a model as opposed to a real object or situation. LO 3
Solutions:
Models usually have time, cost, and risk advantages over experimenting with actual
situations.
6. Choosing Between Models (Analytics Skills). Suppose that a manager has a choice
between the following two mathematical models of a given situation: (a) a relatively
simple model that is a reasonable approximation of the real situation, and (b) a thorough
and complex model that is the most accurate mathematical representation of the real
situation possible. Why might the model described in part (a) be preferred by the
manager? LO 3
Solutions:
Model (a) may be quicker to formulate, easier to solve, and/or easier to understand.
7. Modeling Fuel Cost (Economics). Suppose you are going on a weekend trip to a city that is
d miles away. Develop a model that determines your round-trip gasoline costs. What
assumptions or approximations are necessary to treat this model as a deterministic
model? Are these assumptions or approximations acceptable to you? LO 3
Solutions:
Let d = distance
m = miles per gallon
c = cost per gallon,
∴ Total Cost = 2dc/m
We must be willing to treat m and c as known and not subject to variation.
8. Adding a Second Product to a Production Model (Operations Management). Recall the
production model from Section 1.3:
Max 10x
s.t.
5x ≤ 40
x≥0
Suppose the firm in this example considers a second product that has a unit profit of $5
and requires 2 hours of production time for each unit produced. Use y as the number of
units of product 2 produced. LO 4
a. Show the mathematical model when both products are considered simultaneously.
b. Identify the controllable and uncontrollable inputs for this model.
2
** All Chapters included
** Problems
** Case Problem
,Table of Contents are given below
Chapter 1. Introduction
Chapter 2. Introduction to Probability
Chapter 3. Probability Distributions
Chapter 4. Decision Analysis
Chapter 5. Utility and Game Theory
Chapter 6. Time Series Analysis and Forecasting
Chapter 7. Introduction to Linear Programming
Chapter 8. Linear Programming: Sensitivity Analysis and Interpretation of Solution
Chapter 9. Linear Programming Applications in Marketing, Finance, and Operations
Management
Chapter 10. Distribution and Network Models
Chapter 11. Integer Linear Programming
Chapter 12. Advanced Optimization Applications
Chapter 13. Project Scheduling: PERT/CPM
Chapter 14. Inventory Models
Chapter 15. Waiting Line Models
Chapter 16. Simulation
Chapter 17. Markov Processes
, Solution and Answer Guide: Jeffrey D. Camm, Quantitative Methods for Business, 14e, 2027, 9798214057569;
Chapter 1: Introduction
Solution and Answer Guide
JEFFREY D. CAMM, QUANTITATIVE METHODS FOR BUSINESS, 14E, 2027, 9798214057569;
CHAPTER 1: INTRODUCTION
TABLE OF CONTENTS
Problems.................................................................................................................................1
Case Problem: Scheduling a Youth Soccer League (Sports) ........................................... 11
PROBLEMS
1. Vocabulary (Other). Define the terms management science and operations research. LO 1
Solutions:
Management science and operations research, terms used almost interchangeably, are
broad disciplines that employ scientific methodology in managerial decision making or
problem solving. Drawing upon a variety of disciplines (behavioral, mathematical, etc.),
management science and operations research combine quantitative and qualitative
considerations in order to establish policies and decisions that are in the best interest
of the organization.
2. The Decision-Making Process (Analytics Skills). List and discuss the steps of the
decision-making process. LO 2
Solutions:
a. Define the problem.
b. Identify the alternatives.
c. Determine the criteria.
d. Evaluate the alternatives.
e. Choose an alternative.
f. For further discussion, see Section 1.1.
3. Roles of Qualitative and Quantitative Approaches to Decision Making (Analytics Skills).
Discuss the different roles played by the qualitative and quantitative approaches to
managerial decision making. Why is it important for a manager or decision maker to have a
good understanding of both of these approaches to decision making? LO 2
Solutions:
See Section 1.2.
1
, 4. Production Scheduling (Operations Management). A firm just completed a new plant that
will produce more than 500 different products, using more than 50 different production
lines and machines. The production scheduling decisions are critical in that sales will be
lost if customer demands are not met on time. If no individual in the firm has experience
with this production operation and if new production schedules must be generated each
week, why should the firm consider a quantitative approach to the production scheduling
problem? LO 2
Solutions:
A quantitative approach should be considered because the problem is large, complex,
important, new, and repetitive.
5. Advantages of Modeling (Analytics Skills). List the advantages of analyzing and
experimenting with a model as opposed to a real object or situation. LO 3
Solutions:
Models usually have time, cost, and risk advantages over experimenting with actual
situations.
6. Choosing Between Models (Analytics Skills). Suppose that a manager has a choice
between the following two mathematical models of a given situation: (a) a relatively
simple model that is a reasonable approximation of the real situation, and (b) a thorough
and complex model that is the most accurate mathematical representation of the real
situation possible. Why might the model described in part (a) be preferred by the
manager? LO 3
Solutions:
Model (a) may be quicker to formulate, easier to solve, and/or easier to understand.
7. Modeling Fuel Cost (Economics). Suppose you are going on a weekend trip to a city that is
d miles away. Develop a model that determines your round-trip gasoline costs. What
assumptions or approximations are necessary to treat this model as a deterministic
model? Are these assumptions or approximations acceptable to you? LO 3
Solutions:
Let d = distance
m = miles per gallon
c = cost per gallon,
∴ Total Cost = 2dc/m
We must be willing to treat m and c as known and not subject to variation.
8. Adding a Second Product to a Production Model (Operations Management). Recall the
production model from Section 1.3:
Max 10x
s.t.
5x ≤ 40
x≥0
Suppose the firm in this example considers a second product that has a unit profit of $5
and requires 2 hours of production time for each unit produced. Use y as the number of
units of product 2 produced. LO 4
a. Show the mathematical model when both products are considered simultaneously.
b. Identify the controllable and uncontrollable inputs for this model.
2
