FAKULTAS BISNIS DAN EKONOMIKA

UNIVERSITAS ATMA JAYA YOGYAKARTA

MID TERM EXAM GENAP TA 2023/2024
QUANTITATIVE DECISION-MAKING (MGMT04203)
Oscar Chrismadian Noventa, S.E., M.Sc.
Thursday, 25 April 2024
13.30-15.30 WIB (120 Menit)
Open E-book, Internet Access, Ipad/Laptop, No HP
Unggah Lembar Jawaban pada Situs Kuliah, PDF Format

Instruksi:
1. Before you work, first write: Name and NPM on the top right side of the EXCEL
file.
2. Work in order and answer each question clearly according to the theory you have
learnt.
3. Each question has a maximum point of 20.
4. EXCEL file format: UTSPKK_NAME_NPM, upload on the CURSE SITE only
EXCEL format.
5. Open E-book, Internet Access, Only LAPTOP

Soal:

1) Linear programming is a model consisting of linear relationships representing a firm's

decisions given an objective and resource constraints.
A) True
B) False
C) all of the above
D) neither

2) The objective function always consists of either maximizing or minimizing some value.
A) True
B) False
C) all of the above
D) neither

3) There is exactly one optimal solution point to a linear program.

A) True
B) False
C) all of the above
D) neither

4) The shadow price for a positive decision variable is 0.

A) True
B) False
C) all of the above
D) neither

5) Sensitivity ranges can be computed only for the right-hand sides of constraints.
A) True
B) False
C) all of the above
D) neither
6) When using a linear programming model to solve the diet problem, the objective is generally
to maximize nutritional content.
A) True
B) False
C) all of the above
D) neither

7) The constraint x + y = z is written in standard form.

A) True
B) False
C) all of the above
D) neither

8) Data envelopment analysis problems are usually maximization problems.

A) True
B) False
C) all of the above
D) neither

9) The three types of integer programming models are total, 0-1, and mixed.
A) True
B) False
C) all of the above
D) neither

10) In a 0-1 integer model, the solution values of the decision variables are 0 or 1.
A) True
B) False
C) all of the above
D) neither

11) The optimal solution for a graphical linear programming problem is the corner point that is
the farthest from the origin.
A) True
B) False
C) all of the above
D) neither

12) A minimization model of a linear program contains only surplus variables.

A) True
B) False
C) all of the above
D) neither

13) Sensitivity analysis determines how a change in a parameter affects the optimal solution.
A) True
B) False
C) all of the above
D) neither

14) The sensitivity range for an objective function coefficient is the range of values over which
the profit does not change.
A) True
B) False
C) all of the above
D) neither

15) The terms "shadow price" and "dual price" mean the same thing.
A) True
B) False
C) all of the above
D) neither

16) Product mix problems cannot have greater-than-or-equal-to (≥) constraints.

A) True
B) False
C) all of the above
D) neither

17) When using a linear programming model to solve the diet problem, the objective is generally
to maximize profit.
A) True
B) False
C) all of the above
D) neither

18) In a balanced transportation model, supply equals demand such that all constraints can be
treated as equalities.
A) True
B) False
C) all of the above
D) neither

19) In a mixed integer model, some solution values for decision variables are integer and others
can be non-integer.
A) True
B) False
C) all of the above
D) neither

20) The college dean is deciding among three equally qualified (in their eyes, at least) candidates
for his associate dean position. If this situation could be modeled as an integer program, the
decision variables would be cast as 0-1 integer variables.
A) True
B) False
C) all of the above
D) neither

21) Decision variables:

A) measure the objective function.
B) measure how much or how many items to produce, purchase, hire, etc.
C) always exist for each constraint.
D) measure the values of each constraint.

22) In the formulation of a ≥ constraint:

A) a surplus variable is subtracted.
B) a surplus variable is added.
C) a slack variable is subtracted.
D) a slack variable is added.

23) Which of the following statements is not true?

A) An infeasible solution violates all constraints.
B) A feasible solution point does not have to lie on the boundary of the feasible solution.
C) A feasible solution satisfies all constraints.
D) An optimal solution satisfies all constraints.

24) Without satisfying the non-negativity constraint, a solution that satisfies all the other
constraints of a linear programming problem is called:
A) feasible.
B) infeasible.
C) semi-feasible.
D) optimal.

25) Which of the following could not be a linear programming problem constraint?
A) A + B ≤ -3
B) A - B ≤ -3
C) A - B ≤ 3
D) -A + B ≤ -3

26) Use the constraints given below and determine which of the following points is feasible.
14x + 6y ≤ 42
x- y≤3
A) x = 1; y = 4
B) x = 2; y = 8
C) x = 2; y = 4
D) x = 3; y = 0.5

William Works sells 3 types of T-shirts: Astro, Bling, and Curious. Manufacturing Astros
requires 2 minutes of machine time and 30 minutes of tie-dying labor, and costs $18 in
materials. Brand Bling requires 2.5 minutes of machine time and 35 minutes of labor, and
costs $14 in materials to produce. Brand Curious requires 3 minutes of machine time and 40
minutes of labor, but costs only $10 to produce. There are 350 machining minutes available
per week, 4750 tiedying labor minutes, and he has a budget of $3000. Brand Astro sells for
$20, Brand Bling for $24, and Brand Curious for $30.
The solution from QM for Windows is shown below.

The ranging report from QM for Windows is shown below.

 27) If William could acquire more of any resource, which would it be?
A) adding resources cannot improve his profit
B) money
C) tie-dying labor
D) machining time

28) If one of William's machines breaks down, it usually results in about 15 minutes of
downtime. When this happens, Billy's profits are reduced by:
A) $250.
B) $180.
C) $150.
D) $350.

29) William's accountant made an error, and the budget has been reduced from $3000 to $2500.
William's profit will go down by:
A) $0.
B) $1167.
C) $350.
D) $4667.

30) William has decided that he can raise the price on the Curious t-shirt by 10% without losing
sales. If he raises the price, his profits will:
A) increase by $3.
B) increase by $350.
C) increase by $11.67.
D) increase by $33.

The college director of global activities was hopeful that the print ads in the school newspaper and
30 second spots on the campus radio station would spur some interest in the array of study tour
and study abroad options he had secured. The communications director for the college had other
ideas; she favored a social media campaign consisting of tweets and Facebook postings. "This is
the most ridiculous thing I ever heard of," he whined to the dean. The communications director's
market research revealed the following:
The advertising budget is $3500, but there is no requirement that all the money be spent. The
newspaper has only four issues before the end of the semester, but the radio is a 24/7 operation
and has two dozen 30 second slots available. Facebook postings must be alternated with the rest
of the mindless drivel posted on the college page; thus there is space for only three postings before
the end of the semester. Twitter is complicated by the 140-character requirement. The
communications director feels she needs five tweets to convey a single message about tours and
semesters abroad, so for one message, the cost would be $25 for each of the five components of
the single ad. Due to thumb fatigue, she feels that she has only 2800 characters left in her thumbs
before the end of the semester. (A side note - During the intersession period, she plans to embark
on a strict regimen of thumb yoga to prepare for the coming semester.)
31) What is an appropriate objective function for this scenario?
A) Max Z = 5,000N + 3,000R + 700T + 200F
B) Max Z = 500N + 250R + 125T + 15F
C) Min Z = 500N + 250R + 125T + 15F
D) Min Z = 5,000N + 3,000R + 700T + 200F

32) Which of these is an appropriate constraint for this scenario?

A) 5,000N + 3,000R + 700T + 200F ≤ 3,500
B) 500N + 250R + 125T + 15F ≤ 3,500
C) N + R + T + F ≥ 36
D) T ≤ 2,800

33) A portion of the variable cells section of the sensitivity report in Excel appears in the table
below. How many potential customers will be reached by the optimal advertising campaign?

A) 17.76
B) 8,900
C) 42,080
D) cannot be determined from the sensitivity report

34) Which of these statements about the sensitivity report for the constraints is best?
A) Only $940 of the advertising budget is being spent on this campaign.
B) The advertising campaign needs another $2,560 to reach the maximum number of customers.
C) It is possible to reach enough customers by spending only $60.
D) For every $1 increase in the budget, the ad campaign can reach twelve more customers.

35) What is the proper interpretation of the shadow price for Facebook?

A) Every additional dollar spent on Facebook advertising gains 20 customers as long as the
number of postings does not exceed 233.
B) Every additional dollar spent on Facebook advertising gains 20 customers as long as the
number of postings does not exceed 229.
C) If they spend $4, then can reach 20 customers.
D) If they spend less than $20, they can reach 229.333 customers.

36) How should the entry for the Newspaper decision variable be interpreted?

A) The director should lower the newspaper advertising expense by $1,000 to reach the objective
of 5,000 customers contacted.
B) If the director were forced to purchase a newspaper advertisement, he would reach 1000
fewer customers than would be reached using the optimal advertising campaign.
C) If the director increased newspaper advertisement by 1,000, he would spend $1000 less than
with the current campaign.
D) It is possible to reach an almost infinite fewer number (10 to the 30th power) of customers
by
newspaper than by any other method.

37. Types of integer programming models are:

A) total.
B) 0-1.
C) mixed.
D) total, 0-1, and mixed

38. Binary variables are:

A) 0 or 1 only.
B) any integer value.
C) any continuous value.
D) any negative integer value.

39. Which of the following is not an integer linear programming problem?

A) pure integer
B) mixed integer
C) 0-1 integer
D) continuous
 40. The branch and bound method of solving linear integer programming problems is:
A) an integer method.
B) a relaxation method.
C) a graphical solution.
D) an enumeration method.

41. In a linear programming problem, the binding constraints for the optimal solution are:
5x1 + 3x2 ≤ 30
2x1 + 5x2 ≤ 20
Which of these objective functions will lead to the same optimal solution?
A) 2x1 + 1x2
B) 7x1 + 8x2
C) 80x1 + 60x2
D) 25x1 + 15x2

42. Which of the following could be a linear programming objective function?

A) Z = 1A + 2BC + 3D
B) Z = 1A + 2B + 3C + 4D
C) Z = 1A + 2B / C + 3D
D) Z = 1A + 2B2 + 3D

Which of the following could be a linear programming objective function?

A) Z = 1A + 2BC + 3D
B) Z = 1A + 2B + 3C + 4D
C) Z = 1A + 2B / C + 3D
D) Z = 1A + 2B2 + 3D
Answer: B
Given the following linear programming problem:
Max Z = 15x + 20y
s.t.
8x + 5y ≤ 40
4x + y ≥ 4
43. What would be the values of x and y that will maximize revenue?
A) x = 5; y = 0
B) x = 0; y = 8
C) x = 0; y = 1
D) x = 1; y = 0

44. Given the following linear program that maximizes revenue:

Max Z = 15x + 20y
s.t.
8x + 5y ≤ 40
4x + y ≥ 4
What is the maximum revenue at the optimal solution?
A) $120
B) $160
C) $185
D) $200

Taco Quatro can make their entire menu out of their fantastic four Mexican ingredients, cheese,
meat, beans and tortillas. A Nacholupa needs 2 ounces of cheese, 4 ounces of beans and 3 tortillas.
A Quesatilla needs 4 ounces of cheese, 2 ounces of meat and 1 tortilla. An Enchinacho requires 2
ounces each of cheese, meat, and beans plus 3 tortillas. Their newest menu item, the Burritaco
needs 4 ounces of cheese, 2 ounces of meat and one tortilla. A Nacholupa sells for $2.75, a
Quesatilla sells for $2, an Enchinacho sells for $3 and the new Burritaco sells for $4. The assistant
manager checks the cooler one fine Monday morning and sees that they have 400 ounces of
cheese, 150 ounces of meat, 400 ounces of beans and 250 tortillas on hand.
45. What is an appropriate objective function for this fast food vignette?
A) Max Z = 2.75N + 4B + 2Q + 3E
B) Min Z = 400C + 150M + 400B + 250T
C) Min Z = 2.75N + 4B + 2Q + 3E
D) Max Z = 400C + 150M + 400B + 250T
46. Which of these is a decision variable for the LP formulation of this problem?
A) cheese
B) Nacholupa
C) 400
D) $2.75

47. What is an appropriate constraint for this fast food vignette?

A) 250T + 400B + 150M + 400C
B) 4C + 1M + 0B + 4T ≤ 4
C) 2N + 4B + 4Q + 3E ≤ 400
D) 2.75N + 4B + 2Q + 3E

48. How many decision variables are in the LP formulation?

A) 1
B) 2
C) 3
D) 4

49. Which of these statements about the sensitivity report is best?

A) There are no Burritacos being made.

B) If the Nacholupa has a cost reduction of more than 0, none will be made.
C) The company can make up to 1E + 30 Burritacos.
D) The company can make an additional 0.25 Nacholupas if they want to with the leftover
ingredients.
50. Which of the statements about this portion of the sensitivity report is best?

A) Cheese costs more than meat.

B) One additional pound of meat should be purchased if it can be acquired for $2 or less.
C) There is both cheese and meat left over if the optimal product mix is produced.
D) The shadow price of cheese can rise to 16.8167 before the right hand side changes.

"Success is not final; failure is not fatal: It is the courage to

continue that counts." - Winston S. Churchill