BUS 660 UPDATED ACTUAL EXAM
QUESTIONS AND CORRECT ANSWERS
●● In comparing different policies using simulation, one should use the
same set of random numbers whenever possible.
Answer: True
●● A quantity that is difficult to measure with certainty is called a
Answer: probabilistic input
●● Models with a finite calling population
Answer: Use the size of the population as parameter in the operating
characteristics formulas
●● The number of units expected to be sold is uniformly distributed
between 300 and 500. If r is a random number between 0 and 1, then the
proper expression for sales is
Answer: 300 + r(200)
●● In an all-integer linear program,
Answer: all variables must be integer.
●● Blending problems arise whenever a manager must decide how to
,Answer: mix two or more resources to produce one or more products.
●● Revenue management methodology was originally developed for
Answer: an airline.
●● A transshipment problem is a generalization of the transportation
problem in which certain nodes are neither supply nodes nor destination
nodes.
Answer: True
●● A requirement that two 0-1 variables both be either in or out of a
solution together is a
Answer: corequisite constraint
●● Before waiting lines can be analyzed economically, the arrivals' cost
of waiting must be estimated.
Answer: True
●● If arrivals occur according to the Poisson distribution every 20
minutes, then which is NOT true?
Answer: λ = 20 arrivals per hour
●● Let A, B, and C be the amounts invested in companies A, B, and C.
If no more than 50% of the total investment can be in company B, then
, Answer: −.5A + .5B − .5C ≤ 0
●● Which of the following is the most useful contribution of integer
programming?
Answer: using 0-1 variables for modeling flexibility
●● Which of the following statements is INCORRECT regarding the
advantages of simulation?
Answer: Simulation guarantees an optimal solution.
●● Simulation is a trial-and-error approach to problem solving.
Answer: True
●● The classic assignment problem can be modeled as a 0-1 integer
program.
Answer: True
●● The composite unit in data envelopment analysis
Answer: All of the alternatives are correct.
●● Which of the following is incorrect?
Answer: A global minimum is a local minimum in a convex nonlinear
optimization problem.
QUESTIONS AND CORRECT ANSWERS
●● In comparing different policies using simulation, one should use the
same set of random numbers whenever possible.
Answer: True
●● A quantity that is difficult to measure with certainty is called a
Answer: probabilistic input
●● Models with a finite calling population
Answer: Use the size of the population as parameter in the operating
characteristics formulas
●● The number of units expected to be sold is uniformly distributed
between 300 and 500. If r is a random number between 0 and 1, then the
proper expression for sales is
Answer: 300 + r(200)
●● In an all-integer linear program,
Answer: all variables must be integer.
●● Blending problems arise whenever a manager must decide how to
,Answer: mix two or more resources to produce one or more products.
●● Revenue management methodology was originally developed for
Answer: an airline.
●● A transshipment problem is a generalization of the transportation
problem in which certain nodes are neither supply nodes nor destination
nodes.
Answer: True
●● A requirement that two 0-1 variables both be either in or out of a
solution together is a
Answer: corequisite constraint
●● Before waiting lines can be analyzed economically, the arrivals' cost
of waiting must be estimated.
Answer: True
●● If arrivals occur according to the Poisson distribution every 20
minutes, then which is NOT true?
Answer: λ = 20 arrivals per hour
●● Let A, B, and C be the amounts invested in companies A, B, and C.
If no more than 50% of the total investment can be in company B, then
, Answer: −.5A + .5B − .5C ≤ 0
●● Which of the following is the most useful contribution of integer
programming?
Answer: using 0-1 variables for modeling flexibility
●● Which of the following statements is INCORRECT regarding the
advantages of simulation?
Answer: Simulation guarantees an optimal solution.
●● Simulation is a trial-and-error approach to problem solving.
Answer: True
●● The classic assignment problem can be modeled as a 0-1 integer
program.
Answer: True
●● The composite unit in data envelopment analysis
Answer: All of the alternatives are correct.
●● Which of the following is incorrect?
Answer: A global minimum is a local minimum in a convex nonlinear
optimization problem.
