MG 403 EXAM 1 UAB UPDATED QUESTIONS AND
CORRECT ANSWERS
Question:
1. A foundry produces circular utility ac-cess hatches (manhole covers). Cur-rently, 120 covers are
produced in a 10-hour shift. If labor productivity can be increased by 20%, it would then be
__________
Answer:
14.4 covers/hour
Question:
2. A cleaning company uses $10 of chemicals, $40 of labor, and $5 of misc. expenses for each house
it cleans. After some quality com-plaints, the company has decided to increase its use of chemicals by
50%. By what % has multifactor productiv-ity fallen?
Answer:
8.3%
Question:
3. Productivity can be improved by ___________
Answer:
reducing inputs while keeping output constant (OR) increasing output while keeping inputs constant
Question:
4. All of the following decisions fall within the scope of operations man-agement except ________
Answer:
creating a company income statement
Question:
5. Consider a right-angled triangle (i.e., a triangle in which one of the angles is 90degrees). If the two
sides that form the 90 degree corner are 4 inch-es and 3 inches, then the perimeter of the triangle is
equal to what? [Hint:
From Pythagorean Theorem, the 3rd side of the triangle must be 5 inches].
Answer:
12 inches
Question:
6. A cleaning company uses 10 lbs each of chemicals A, B and C for each house it cleans. After some
quality complaints, the company has decid-ed to increase its use of chemical A by an additional 10
lbs for each house. By what % has productivity (houses per pound of chemical) fall-en
Answer:
25%
Question:
7. Measurement of quality is hardest in which of the following scenarios?
Answer:
elective cosmetic surgery
, Question:
8. With regards to the Frito Lay video that you watched, which of the fol-lowing is false?
Answer:
the company has only a total of about 10 product lines to allow for complete focus
Question:
9. Reasons to study Operations Man-agement include:
Answer:
- studying how people organize themselves for a pro-
ductive enterprise
- learning about a costly part of the enterprise
- we want to know how goods and services are pro-
duced
- to understand what operations managers do
Question:
10. Which of the following is another name for Boeing's 787 Airliner?
Answer:
Dreamliner
Question:
11. Which of the following statements about Organizational Missions is false?
Answer:
they are formulated after strategies are known
Question:
12. Which of the following is true?
Answer:
Functional strategies are shaped by corporate strate-gy.
Question:
13. Which of the following did the au-thors not suggest as a reason for globalizing operations?
Answer:
stockholder approval ratings
Question:
14. Which of the following is not an op-erations strategic decision?
Answer:
Question:
15. Which of the international opera-tions strategies involves a focus on high cost reductions and low
local responsiveness?
Answer:
Global strategy
Question:
16. An organization's strategy is its pur-pose or rationale for an organiza-tion's existence (T/F)
CORRECT ANSWERS
Question:
1. A foundry produces circular utility ac-cess hatches (manhole covers). Cur-rently, 120 covers are
produced in a 10-hour shift. If labor productivity can be increased by 20%, it would then be
__________
Answer:
14.4 covers/hour
Question:
2. A cleaning company uses $10 of chemicals, $40 of labor, and $5 of misc. expenses for each house
it cleans. After some quality com-plaints, the company has decided to increase its use of chemicals by
50%. By what % has multifactor productiv-ity fallen?
Answer:
8.3%
Question:
3. Productivity can be improved by ___________
Answer:
reducing inputs while keeping output constant (OR) increasing output while keeping inputs constant
Question:
4. All of the following decisions fall within the scope of operations man-agement except ________
Answer:
creating a company income statement
Question:
5. Consider a right-angled triangle (i.e., a triangle in which one of the angles is 90degrees). If the two
sides that form the 90 degree corner are 4 inch-es and 3 inches, then the perimeter of the triangle is
equal to what? [Hint:
From Pythagorean Theorem, the 3rd side of the triangle must be 5 inches].
Answer:
12 inches
Question:
6. A cleaning company uses 10 lbs each of chemicals A, B and C for each house it cleans. After some
quality complaints, the company has decid-ed to increase its use of chemical A by an additional 10
lbs for each house. By what % has productivity (houses per pound of chemical) fall-en
Answer:
25%
Question:
7. Measurement of quality is hardest in which of the following scenarios?
Answer:
elective cosmetic surgery
, Question:
8. With regards to the Frito Lay video that you watched, which of the fol-lowing is false?
Answer:
the company has only a total of about 10 product lines to allow for complete focus
Question:
9. Reasons to study Operations Man-agement include:
Answer:
- studying how people organize themselves for a pro-
ductive enterprise
- learning about a costly part of the enterprise
- we want to know how goods and services are pro-
duced
- to understand what operations managers do
Question:
10. Which of the following is another name for Boeing's 787 Airliner?
Answer:
Dreamliner
Question:
11. Which of the following statements about Organizational Missions is false?
Answer:
they are formulated after strategies are known
Question:
12. Which of the following is true?
Answer:
Functional strategies are shaped by corporate strate-gy.
Question:
13. Which of the following did the au-thors not suggest as a reason for globalizing operations?
Answer:
stockholder approval ratings
Question:
14. Which of the following is not an op-erations strategic decision?
Answer:
Question:
15. Which of the international opera-tions strategies involves a focus on high cost reductions and low
local responsiveness?
Answer:
Global strategy
Question:
16. An organization's strategy is its pur-pose or rationale for an organiza-tion's existence (T/F)
