ETS BUSINESS EXAM 1 QUESTIONS & ANSWERS
The Balanced Scorecard includes which of the following performance perspectives?
a) Customer perspective
b)financial perspective
c)internal perspective
d) all of the above - Answer -d) all of the above
A lamp manufacturer has developed five lamp bases and four lampshades that are
interchangeable. How many different arrangements of base and shade can be offered?
a) 5
b) 10
c) 15
d) 20 - Answer -d) 20
_______ is a one-time variation that is explainable.
a) random variation
b) irregular variation
c) trend
d) seasonal pattern - Answer -b) irregular variation
Quality Control Systems include the following component(s);
a) performance standard or goal
b) means of measuring actual performance
c) comparison of actual performances with the standard to for the basis for corrective
action
d) all of the above - Answer -d) all of the above
A conditional probability is the probability that
a) the measure that the likelihood of two or more events will happen concurrently
b) the event only happens once
c) a particular event will occur, given that another event has occurred
d) one member of the family can be used to determine the probabilities of the entire
family - Answer -c) a particular event will occur, given that another event has occurred
Bass Fishing, Inc. assembles fishing reels in an assembly line using six workstations.
Management wants an output rate of 300 reels per day, (with a 7.5 hour work-day). The
sum of the task times is 8 minutes per reel. What is the total idle time?
a) 5 minutes
b) 3.5 minutes
c) 2 minutes
d) 1 minute - Answer -d) 1 minute
Total Idle Time = (N)(CT) - est.t
6*1.5-8 = 1 minute/reel
,Cycle Time (CT) = A/R = [(7.5 hours/day)(60 minutes/hour)]/(300 reels/day) =450/300 =
1.5 minutes/reel
Which of the following is NOT a step in Hypothesis Testing?
a) formulate a decision rule
b) create a critical value
c) select a level of significance
d) identify the test statistic - Answer -b) create a critical value
A mathematical equation or formula that helps a firm in determining the economic order,
quantity, and the frequency of ordering, to keep goods or services flowing to the
customer without interruption or delay is;
a) customer service flow
b) customer "Just In Time" process
c) inventory process
d) inventory modeling - Answer -d) inventory modeling
The Critical Path Method (CPM) assumes all of the following EXCEPT;
a) the activity time estimates are accurate and stable
b) once an activity is started it continues uninterrupted until it is completed
c) the project network defines a correct sequence of work in terms of technology and
workflow
d) activities are assumed to be dependent of one another with clearly defined start and
finish dates - Answer -d) activities are assumed to be dependent of one another with
clearly defined start and finish dates
Queue Time is a fancy word for
a) processing time
b) wait time
c) personal time
d) responsiveness - Answer -b) wait time
The value of the observation that appears the most frequently is;
a) the median
b) the mode
c) the midpoint
d) the sample - Answer -b) the mode
Joint probability is;
a) mutually exclusive
b) two events that occur simultaneously
c) joins two or more events
d) all of the above - Answer -d) all of the above
, A sample selected so that each item or person in the population has the same chance
of being included is;
a) a simple random sample
b) a systematic random sample
c) a stratified random sample
d) cluster sampling - Answer -a) a simple random sample
A(n) _________ estimate that is a single value (point) derived from a sample and used
to estimate a population value.
a) confidence interval estimate
b) level of confidence
c) point estimate
d) none of the above - Answer -c) point estimate
As you get further away from the mean, in a normal curve distribution, your probability
gets _______.
a) higher
b) lower
c) drastically higher
d) unknown - Answer -b) lower
A _____ is a value used to determine whether to reject the null hypothesis.
a) null hypothesis
b) critical value
c) alternate hypothesis
d) test statistic - Answer -d) test statistic
A normal distribution is bell shaped, symmetrical, and asymptotic.
True or False - Answer -True
A Null Hypothesis is a statement developed to prove numerical evidence.
True or False - Answer -False
A statistical process control is utilized to ensure that a process is operating at its full
potential.
True or False - Answer -True
In a permutation, the order of arrangement does not matter.
True or False - Answer -False
A population is the entire set of individuals, or objects or interest, or the measurements
obtained from all individuals.
True or False - Answer -True
A Standard Deviation is a constant interval throughout a normal curve distribution.
True or False - Answer -True
The Balanced Scorecard includes which of the following performance perspectives?
a) Customer perspective
b)financial perspective
c)internal perspective
d) all of the above - Answer -d) all of the above
A lamp manufacturer has developed five lamp bases and four lampshades that are
interchangeable. How many different arrangements of base and shade can be offered?
a) 5
b) 10
c) 15
d) 20 - Answer -d) 20
_______ is a one-time variation that is explainable.
a) random variation
b) irregular variation
c) trend
d) seasonal pattern - Answer -b) irregular variation
Quality Control Systems include the following component(s);
a) performance standard or goal
b) means of measuring actual performance
c) comparison of actual performances with the standard to for the basis for corrective
action
d) all of the above - Answer -d) all of the above
A conditional probability is the probability that
a) the measure that the likelihood of two or more events will happen concurrently
b) the event only happens once
c) a particular event will occur, given that another event has occurred
d) one member of the family can be used to determine the probabilities of the entire
family - Answer -c) a particular event will occur, given that another event has occurred
Bass Fishing, Inc. assembles fishing reels in an assembly line using six workstations.
Management wants an output rate of 300 reels per day, (with a 7.5 hour work-day). The
sum of the task times is 8 minutes per reel. What is the total idle time?
a) 5 minutes
b) 3.5 minutes
c) 2 minutes
d) 1 minute - Answer -d) 1 minute
Total Idle Time = (N)(CT) - est.t
6*1.5-8 = 1 minute/reel
,Cycle Time (CT) = A/R = [(7.5 hours/day)(60 minutes/hour)]/(300 reels/day) =450/300 =
1.5 minutes/reel
Which of the following is NOT a step in Hypothesis Testing?
a) formulate a decision rule
b) create a critical value
c) select a level of significance
d) identify the test statistic - Answer -b) create a critical value
A mathematical equation or formula that helps a firm in determining the economic order,
quantity, and the frequency of ordering, to keep goods or services flowing to the
customer without interruption or delay is;
a) customer service flow
b) customer "Just In Time" process
c) inventory process
d) inventory modeling - Answer -d) inventory modeling
The Critical Path Method (CPM) assumes all of the following EXCEPT;
a) the activity time estimates are accurate and stable
b) once an activity is started it continues uninterrupted until it is completed
c) the project network defines a correct sequence of work in terms of technology and
workflow
d) activities are assumed to be dependent of one another with clearly defined start and
finish dates - Answer -d) activities are assumed to be dependent of one another with
clearly defined start and finish dates
Queue Time is a fancy word for
a) processing time
b) wait time
c) personal time
d) responsiveness - Answer -b) wait time
The value of the observation that appears the most frequently is;
a) the median
b) the mode
c) the midpoint
d) the sample - Answer -b) the mode
Joint probability is;
a) mutually exclusive
b) two events that occur simultaneously
c) joins two or more events
d) all of the above - Answer -d) all of the above
, A sample selected so that each item or person in the population has the same chance
of being included is;
a) a simple random sample
b) a systematic random sample
c) a stratified random sample
d) cluster sampling - Answer -a) a simple random sample
A(n) _________ estimate that is a single value (point) derived from a sample and used
to estimate a population value.
a) confidence interval estimate
b) level of confidence
c) point estimate
d) none of the above - Answer -c) point estimate
As you get further away from the mean, in a normal curve distribution, your probability
gets _______.
a) higher
b) lower
c) drastically higher
d) unknown - Answer -b) lower
A _____ is a value used to determine whether to reject the null hypothesis.
a) null hypothesis
b) critical value
c) alternate hypothesis
d) test statistic - Answer -d) test statistic
A normal distribution is bell shaped, symmetrical, and asymptotic.
True or False - Answer -True
A Null Hypothesis is a statement developed to prove numerical evidence.
True or False - Answer -False
A statistical process control is utilized to ensure that a process is operating at its full
potential.
True or False - Answer -True
In a permutation, the order of arrangement does not matter.
True or False - Answer -False
A population is the entire set of individuals, or objects or interest, or the measurements
obtained from all individuals.
True or False - Answer -True
A Standard Deviation is a constant interval throughout a normal curve distribution.
True or False - Answer -True
