OR - Obj-Questions
OR - Obj-Questions
OR - Obj-Questions
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7. In linear programming problem the linear relation is between
a. Objective function and constraints
b. Objective function and variables
c. Variables and constraints
d. All of the above
8. In case of linear programming problem, the production requirements in the period are
a. Fixed
b. Varies
c. Fixed for first half of the period and then varies
d. Varies for first half of the period and then constant
9. In linear programming problem the profit requirements of a product during a period with
the level of production and sales
a. Remains constant
b. Varies linearly with time
c. Varies non-linearly with time
d. None of the above
10. Which of the following is a valid objective function for a linear programming problem?
a. Max 5xy
b. Min 4x + 3y + (2/3) z
c. Max 5x2 + 6y2
d. Min (x1 + x2)/x3
11. The linear programming problem can be solved by graphical method if it has
a. Two variables
b. Three variables
c. Four variables
d. Any number of variables
12. The solution space in graphical method should always be in the
a. First quadrant
b. Second quadrant
c. Third quadrant
d. Fourth quadrant
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13. The area on the graph that satisfies all the constraints of a linear programming problem is
a. Solution space
b. Common area
c. Either “a” or “b”
d. None of the above
14. If the solution space is not there in the first quadrant in a LPP with non-negativity
constraints the solution is said to be
a. Feasible
b. Unbounded
c. Infeasible
d. Can not say
15. If the solution space is not having an upper boundary in first quadrant in a maximization
LPP with non-negativity constraints the solution is said to be
a. Feasible
b. Unbounded
c. Infeasible
d. Can not say
16. While solving the LPP by simplex method the right-hand side of the constraints must be
a. Positive
b. Negative
c. Zero
d. Any of the above
17. While finding the initial basic feasible solution, equate
a. Decision variables to zero
b. Decision and surplus variables to zero
c. Slack variables to zero
d. Artificial variables to zero
18. In case of simplex method minimum ratio is the ratio of
a. Basic solution to key column
b. Key column to basic solution
c. Key column to coefficients of basic variables column
d. None of the above
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19. Key row is the row having minimum
a. Negative ratio
b. Positive ratio
c. Non-negative ratio
d. Any of the above
20. If a variable is added to the left-hand side of the constraint to make the inequation as
equation, it is called as
a. Decision variable
b. Slack variable
c. Surplus variable
d. Artificial variable
21. If a variable is subtracted from the left-hand side of the constraint to make the inequation
as equation, it is called as
a. Decision variable
b. Slack variable
c. Surplus variable
d. Artificial variable
22. After the conversion of LPP into standard form less than or equal to constraints will have
a. Decision and slack variables
b. Decision and surplus variables
c. Slack and surplus variables
d. Surplus and artificial variables
23. After the conversion of LPP into standard form greater than or equal to constraints will
have
a. Decision and slack variables
b. Decision and surplus variables
c. Slack and surplus variables
d. Decision, Surplus and artificial variables
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24. After the conversion of LPP into standard form equality type constraints will have
a. Decision and slack variables
b. Decision and surplus variables
c. Slack and surplus variables
d. Decision and artificial variables
25. The coefficient of artificial variables in the objective function of an LPP in Big – M
method is
a. 1
b. – 1
c. – M
d. None of the above
26. The coefficient of slack and surplus variables in the objective function of an LPP is
a. 1
b. – 1
c. 0
d. None of the above
27. The coefficient of artificial variables in the objective function of an LPP in two phase
method is
a. 1
b. – 1
c. – M
d. None of the above
28. The coefficients of decision variables in the objective function of an LPP in the first
phase of the two-phase simplex method are
a. 1
b. – 1
c. 0
d. M
29. The coefficients of slack and surplus variables in the objective function of an LPP in the
first phase of the two-phase simplex method are
a. 1
b. – 1
c. 0
d. M
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30. First phase of the two-phase simplex method ends when
a. Slack variables are eliminated from basic variable column of simplex table
b. Surplus variables are eliminated from basic variable column of simplex table
c. Artificial variables are eliminated from basic variable column of simplex
table
d. All values in minimum ratio column are negative
31. If the tie occurs between decision variables column and slack variables column while
selecting the key column, key column is
a. Decision variables column
b. Slack variables column
c. Any column can be selected randomly
d. Can not say
32. If the tie occurs between artificial variables column and slack variables column while
selecting the key column, key column is
a. Decision variables column
b. Slack variables column
c. Artificial variables column
d. Can not say
33. If the tie occurs between 1st row and 3rd row while selecting the key row the key row will
be the
a. 1st row
b. 3rd row
c. Either “a” or “b” can be selected randomly
d. Can not say
34. Unbounded solution in simplex method is indicated by
a. Artificial variables in basic variables column of final simplex table
b. All values in minimum ratio column equal to zero
c. All the values in minimum ratio column are either negative or infinite
d. None of the above
35. Infeasible solution in simplex method is indicated by
a. Artificial variables in basic variables column of final simplex table
b. All values in minimum ratio column equal to zero
c. All the values in minimum ratio column are either negative or infinite
d. None of the above
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36. If there are “n” variables and “m” constraints in primal, dual will have
a. “n” variables and “m” constraints
b. “n” variables and “n” constraints
c. “m” variables and “m” constraints
d. “m” variables and “n” constraints
37. If the primal is maximization type all the constraints must be
a. Less than or equal to type
b. Greater than or equal to type
c. Equal to type
d. Any of the above
38. If the primal is maximization type all the constraints must be
a. Less than or equal to type
b. Greater than or equal to type
c. Equal to type
d. Any of the above
39. If the constraints in primal are less than or equal to type constraints in dual must be
a. Remains less than or equal to type
b. Equality type
c. Greater than or equal to type
d. None of the above
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Cluster – II
1. Transportation problem is basically a
a. Maximization problem
b. Minimization problem
c. Iconic model
d. None of the above
2. To find out the initial basic feasible solution of transportation problem sum of the
availabilities in the problem must be
a. Less than the sum of the requirements
b. Greater than the sum of the requirements
c. Equal to the sum of the requirements
d. Any of the above
3. Which one of the following is not the method to find the initial basic feasible solution of
the transportation problem?
a. North-West corner method
b. Least cost method
c. Vogel’s Approximation method
d. U – V method
4. The method used to find out the optimum value of the transportation cost is
a. North-West corner method
b. Least cost method
c. Vogel’s Approximation method
d. U – V method
5. Which of the following statement is wrong while comparing the linear programming
problem and transportation problem.
a. Both have objective function
b. Bothe have linear objective function
c. Both have non negativity constraints
d. Both can not be solved by simplex method
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7. To conduct the optimality test in transportation problem, all the allocations must be in
a. Independent positions
b. Dependent positions
c. A row
d. A column
8. Cell Evaluation Matrix (CEM) in transportation problem is equal to
a. Original Cost matrix + (Ui + Vj)
b. Original Cost matrix – (Ui + Vj)
c. Original Cost matrix + (Ui – Vj)
d. Original Cost matrix – (Ui – Vj)
9. To get the optimum solution of transportation problem all the values in Cell Evaluation
Matrix (CEM) must be
a. Negative
b. Zeros
c. Non negative
d. Either zero or negative
10. Number of alternative solutions for a transportation problem are indicated by
a. Number of positive values in Cell Evaluation Matrix (CEM)
b. Number of negative values in Cell Evaluation Matrix (CEM)
c. Number of zeros in Cell Evaluation Matrix (CEM)
d. None of the above
11. A transportation problem is said to be a balanced problem when
a. Sum of the availabilities ≤ Sum of the requirements
b. Sum of the availabilities ≥ Sum of the requirements
c. Sum of the availabilities = Sum of the requirements
d. None of the above
12. A column, which is introduced in the matrix of a transportation problem to balance the
problem is known as
a. Key column
b. Idle column
c. Slack column
d. Dummy column
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13. A row, which is introduced in the matrix of a transportation problem to balance the
problem is known as
a. Key row
b. Idle row
c. Slack row
d. Dummy row
14. The unit transportation costs in dummy row or column are
a. 1
b. 0
c. ∞
d. None of the above
15. The requirement or availability of a dummy column or a dummy row is equal to
a. Difference between the sum of availabilities and requirements
b. Minimum value of all the requirements or availabilities
c. Maximum value of all the requirements or availabilities
d. None of the above
16. In transportation problem with “m” rows and “n” columns, degeneracy means
a. Number of allocations > (m + n – 1)
b. Number of allocations < (m + n – 1)
c. Number of allocations = (m + n – 1)
d. Number of allocations = (m + n + 1)
17. To resolve the degeneracy in transportation problem a small value “ε” is added to
a. Non allocated cell having minimum value in the matrix
b. Non allocated cell having maximum value in the matrix
c. Either “a” or “b”
d. Can not be resolved
18. While finding out the final transportation cost, the value of “ε” should be taken as
a. 1
b. – 1
c. 0
d. ∞
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19. If there is a negative value in Cell Evaluation Matrix (CEM), to move towards optimum
solution, the cell to be selected should have
a. Most negative value
b. Most positive value
c. Zero
d. None of the above
20. Independent positions in transportation problem means allocations
a. Should not form the closed loop
b. Should form the closed loop
c. Should be in diagonal manner
d. None of the above
21. If the cost of transportation in some cells are not given the transportation problem is
a. Unbalanced problem
b. Problem with degeneracy
c. Restricted transportation problem
d. None of the above
22. In case of restricted minimization transportation problem, the restricted cell should be
allocated with
a. Zero
b. Very small value
c. Very high value
d. Can not say
23. In maximization transportation problem the penalty means, the difference between
a. Maximum value and next maximum value of that row or column
b. Minimum value and next minimum value of that row or column
c. Maximum value and minimum value of that row or column
d. None of the above
24. In case of degenerate maximization transportation problem, a small value “ε” should be
allocated to
a. Minimum value of non-allocated cells
b. Maximum value of non-allocated cells
c. Any of the non-allocated cells randomly
d. None of the above
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25. In maximization transportation problem the values in the cells of the matrix indicates
a. Costs
b. Profits
c. Losses
d. None of the above
26. Assignment problem is basically
a. Maximization problem
b. Minimization problem
c. Primal problem
d. Deals with transportation of items
27. In assignment problem the matrix must be
a. Square matrix
b. Non-square matrix
c. Unit matrix
d. Any of the above
28. Number of assignments in a matrix of order “n” are
a. n – 1
b. n
c. n + 1
d. n + 2
29. If the assignment problem is solved as transportation problem, the requirements and
availabilities become
a. 1
b. 0
c. ∞
d. None of the above
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31. To balance the assignment problem, one has to
a. Add a dummy row
b. Add a dummy column
c. Add a dummy row or column depending on the situation
d. Can not balance the assignment problem
32. The assignment costs in dummy row or column are
a. 1
b. 0
c. ∞
d. None of the above
33. The assignment problem will have alternate solutions when opportunity cost matrix has
a. At least one zero in each row and column
b. When all rows have two zeros
c. When there is a tie between zero opportunity cost cells
d. If two diagonal elements are zeros.
34. The maximization assignment problem can be converted into minimization problem by
a. Subtracting the least value of the matrix from every cell of the matrix
b. Subtracting the values in every cell of the matrix from highest value of the matrix
c. By multiplying every value in the matrix with “– 1”
d. Both “b” and “c”
35. Maximization assignment problem is solved by
a. Simplex method
b. Graphical method
c. Vector method
d. Hungarian method
36. The value in the restricted cell of the assignment problem is
a. 0
b. 1
c. ∞
d. None of the above
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37. In cyclic traveling salesman problem, the elements of diagonal from left top to right
bottom are,
a. Zeros
b. All negative elements
c. All are infinity
d. All are ones.
38. Opportunity costs in a row of a matrix in assignment problem are obtained by
a. Adding smallest element of each row to all the values of that row
b. Adding highest element of each row to all the values of that row
c. Subtracting smallest element of each row to all the values of that row
d. None of the above
39. Number of rows drawn to cover all zeros in an assignment matrix of order “n” are
a. n
b. n + 1
c. n – 1
d. None of the above
40. An assignment problem is said to be optimum when
a. Number of assignments > Order of the matrix
b. Number of assignments < Order of the matrix
c. Number of assignments = Order of the matrix
d. Depends on the situation
Cluster III
1. The father of game theory is
a. Von Neumann
b. Danzig
c. Federick W Taylor
d. L Gantt
2. If the value of game is zero, game is called as
a. Fair game
b. Pure game
c. Mixed game
d. None of the above
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3. The game with saddle point is
a. Probabilistic in nature
b. Normative in nature
c. Stochastic in nature
d. Deterministic in nature
4. A game is said to have saddle point
a. Mini max value > Max min value
b. Mini max value < Max min value
c. Mini max value = Max min value
d. None of the above
5. The positive values in the matrix of a game indicates
a. Profit for player in rows
b. Profit for player in columns
c. Sum of the profits of both the players
d. None of the above
6. If there is no saddle point in the game, then the game is
a. Deterministic game
b. Mixed strategy game
c. Fair game
d. Pure game
7. If all the values of ith row (Ri) are more than the corresponding values of jth row (Rj)
a. Ri is said to be dominated by Rj
b. Rj is said to be dominated by Ri
c. Ri and Rj are said to be equivalent
d. None of the above
8. If all the values of ith column (Ci) are more than corresponding values of jth column (Cj)
a. Ci is said to be dominated by Cj
b. Cj is said to be dominated by Ci
c. Ci and Cj are said to be equivalent
d. None of the above
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9. While checking for average dominance in rows the average of two rows must be
a. Equal to the third row
b. Greater than the third row
c. Less than the third row
d. Can not say
10. Game value in case of 2 × 2 game is given by
a.
b.
c.
11. If there is no saddle point and the game is 2 × 2 game it can be solved by
a. Linear Programming method,
b. Minimax and maximin criteria
c. Algebraic method
d. Graphical method.
12. If there are more than two persons in a game then the game is known as:
a. Nonzero-sum game
b. Open game
c. Multiplayer game
d. Big game
13. Theory of games and economic behaviour is published by:
a. John Von Neumann and Morgenstern
b. John Flood
c. Bellman and Neumann
d. Mr. Erlang
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14. While checking for average dominance in columns the average of two columns must be
a. Equal to the third row
b. Greater than the third row
c. Less than the third row
d. Can not say
15. If a strategy is deleted by dominance the probability of using that strategy is
a. 1
b. ½
c. 0
d. 2
16. If there is no saddle point and dominance and the game is 2 × n game it can be solved by
a. Linear Programming method,
b. Minimax and maximin criteria
c. Algebraic method
d. Graphical method.
17. If there is no saddle point and dominance and the game is n × 2 game it can be solved by
a. Linear Programming method,
b. Minimax and maximin criteria
c. Algebraic method
d. Graphical method.
18. If the game is 2 × n, the two vertical lines on the graph represents
a. Strategies of player in rows
b. Strategies of player in columns
c. Any one of the above depending on the situation
d. None of the above
19. If the game is n × 2, the two vertical lines on the graph represents
a. Strategies of player in rows
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b. Strategies of player in columns
c. Any one of the above depending on the situation
d. None of the above
20. If the game is m × n without saddle point after dominance, it can be solved by
a. Minimax criteria
b. Algebraic method
c. Graphical method
d. Linear programming method
21. The objective of sequencing problem is:
a. To find the order in which jobs are to be made
b. To find the time required for completing all the jobs on hand.
c. To find the sequence to minimize the total time of
completion all the jobs.
d. To maximize the effectiveness.
22. If there are ‘n’ jobs and ‘m’ machines, possible number of sequences of doing the jobs is
a. n × m
b. m × n
c. n m
d. (n!) m
23. In general sequencing problem will be solved by using
a. Hungarian Method.
b. Simplex method.
c. Johnson and Bellman method,
d. Flood’s technique.
24. If the minimum processing time of job falls on the second machine in a
2 machines and ‘n’ jobs problem the corresponding job must be
a. Processed first
b. Processed last
c. Processed according to the time on other machine
d. None of the above
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25. If the minimum processing time of job falls on the first machine in a two
machines and ‘n’ jobs problem the corresponding job must be
a. Processed first
b. Processed last
c. Processed according to the time on other machine
d. None of the above
26. Condition to be satisfied to convert n jobs and 3 machines problem into 2 machines
problem is
28. While converting n jobs and 3 machines problem into 2 machines problem, if the two
new machines are G and H, the times on H are
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b. Job B is preferred first
c. Either A or B can be preferred
d. None of the above
30. If a job is having equal minimum times on both the machine, that job is processed
a. First
b. Last
c. Either first or last
d. Can not say
31. Condition to be satisfied to convert n jobs and m machines problem into 2 machines
problem is
32. While converting n jobs and m machines problem into 2 machines problem, if the two
new machines are G and H, the times on G are
a. Simplex method
b. Hungarian method
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c. Johnson’s method
35. If two jobs are having same processing times on the same machine, job can be selected
a. Randomly
b. By comparing the times of the jobs on the opposite machine
c. That comes first in the problem
d. None of the above
36. Two jobs, “m” machines sequencing problem can be solved by
a. Simplex method
b. Hungarian method
c. Graphical method
d. Any of the above
37. While solving two jobs, “m” machines sequencing problem, vertical lines on graph
a. Indicates idle time for job on X – axis
b. Indicates idle time for job on Y – Axis
c. Total processing time
d. None of the above
38. While solving two jobs, “m” machines sequencing problem, horizontal lines on graph
a. Indicates idle time for job on X – axis
b. Indicates idle time for job on Y – Axis
c. Total processing time
d. None of the above
39. Total processing time of both the jobs in two jobs, “m” machines sequencing problem is
a. Product of total and idle times
b. Difference of total times and idle time
c. Sum of total times and idle time
d. None of the above
40. In a 2 jobs and ‘n’ machine problem a line at 45° represents
a. Job 1 is idle
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b. Job 2 is idle
c. Both the jobs are idle
d. Both jobs are under processing
Cluster - IV
1. Which of the following are the elements of queuing system
a. Input and output distribution
b. Service channel and service distribution
c. Calling source and maximum number of customers in the queue
d. All of the above
2. Proportion of time a server actually spends with a customer is called
a. Waiting time in the queue
b. Waiting time in the system
c. Utilization factor
d. None of the above
3. Total time in the system is equal to
a. Waiting time – service time
b. Waiting time + service time
c. Waiting time + traffic intensity
d. None of the above
4. Behaviour of the customer with which customer moves from one queue to another is
a. Balking
b. Reneging
c. Collusion
d. Jockeying
5. The behaviour of leaving the queue due to impatience of the customer is called
a. Balking
b. Reneging
c. Collusion
d. Jockeying
6. Which of the following is the queue discipline
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a. FIFO (First in First Out)
b. FILO (First in Last Out)
c. SIRO (Service in Random Order)
d. All of the above
a. Probabilistic model
b. Deterministic model
c. Mixed queuing model
d. None of the above
11. In the model (M/M/1) :(FCFS/∞/∞) the length of the system is
a. 1
b. 0
c. Limited
d. Unlimited
12. In the model (M/M/1) :(FCFS/∞/∞) the traffic intensity is given by
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a. μ / λ
b. λ / μ
c. 1 – λ / μ
d. None of the above
13. In the queuing model (M/M/1) :(FCFS/∞/∞) the probability that the que is empty is
a. ρ
b. 1 + ρ
c. 1 – ρ
d. 1 / ρ
14. In the queuing model (M/M/1) :(FCFS/∞/∞), average length of the system is
a. 1 / (μ – λ)
b. μ / (μ – λ)
c. λ / (μ – λ)
d. 1 / (μ + λ)
15. The cost of providing service in a queuing system increases with
a. Increased mean time in the queue
b. Increased arrival rate
c. Decreased mean time in the queue
d. Decreased arrival rate
16. Office filing system follows
a. LIFO
b. FIFO
c. SIRO
d. SBP
17. When a doctor attends to an emergency case leaving his regular service is called
a. Reneging
b. Balking
c. Pre-emptive queue discipline
d. Non-Pre-Emptive queue discipline
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a. Death process
b. Pure Birth Process
c. Pure live process
d. Sick process
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d. ρn (1 + ρ)
24. If the arrivals at a service facility are distributed as per the Poisson distribution with a
mean rate of 10 per hour and the services are exponentially distributed with a mean
service time of 4 minutes, what is the probability that a customer may have to wait to
be served?
a. 0.40
b. 0.50
c. 0.67
d. 1.00
25. Service time in queuing theory is usually assumed to follows
a. Normal distribution
b. Poisson’s distribution
c. Erlang distribution
d. Exponential law
26. In case of (M/M/1): (FCFS/N/∞) model the probability that the queue is empty is
a.
b.
c.
27. Trains arrive at the yard every 15 minutes and the service time is 33 minutes. If the
line capacity of the yard is limited to 4 trains. The probability that the yard is empty is
a. 0.237
b. 0.327
c. 0.732
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d. 0.0237
28. In (M/M/1): (FCFS/N/∞) model the probability to have “n” number of trains in the
system is
a. pn = ρn × p0
b. pn = ρ × p0
c. pn = ρn – 1 × p0
d. None of the above
29. Trains arrive at the yard every 15 minutes and the service time is 33 minutes. If the
line capacity of the yard is limited to 4 trains. The average number of trains in the
system is
a. 2.36
b. 2.63
c. 3.26
d. None of the above
30. During a period of 2 hours in a particular day, trains are arrived at the yard every 20
minutes but the service time is 36 minutes. The traffic intensity is
a. 3
b. 1.7
c. 1.8
d. 2
31. When a doctor attends to an emergency case leaving his regular service is called
a. Reneging
b. Balking
c. Pre-emptive queue discipline
d. Non-Pre-Emptive queue discipline
32. This department is responsible for the development of queuing theory
a. Railway station
b. Municipal office
c. Telephone department
d. Health department.
33. Queuing models measure the effect of
a. Random arrivals
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b. Random service
c. Effect of uncertainty on the behavior of the queuing system
d. Length of queue
34. The inter-arrival times at a tool crib are exponential with an average time of 10
minutes and the length of the service time is exponential with mean 6 minutes. The
probability that a person arriving at the booth will have to wait is equal to
a. 0·15
b. 0·40
c. 0·42
d. 0·6
35. If average arrival rate in a queue is 6/hr and the average service rate is 10/hr, which
one of the following is the average number of customers in the line, including the
customer being served?
a. 0.3
b. 0.6
c. 1.2
d. 1.5
36. At a self-service store, a cashier can serve 10 customers in 5 minutes. On an average
15 customers arrive every 10 minutes. If the arrivals are as per Poisson distribution
and services as per exponential distribution, the probability that the cashier would be
idle is
a. 0.5
b. 0.75
c. 0.25
d. 0
37. Multi-channel queuing system is represented as
a. (M/M/1) :(FCFS/∞/∞)
b. (M/M/1) :(FCFS/N/∞)
c. (M/M/1) :(FCFS/N/n)
d. (M/M/C) :(FCFS/∞/∞)
38. Condition to not having a queue in a multi-channel queuing system is
a. Number of arrivals > Number of service channels
b. Number of arrivals < Number of service channels
c. Both “a” and “b”
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d. None of the above
a. 0.67
b. 1.5
c. 0.5
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Cluster - V
1. The basic objective of the inventory management is
a. To calculate the EOQ
b. To purchase the material in person
c. The efficient utilization of capital
d. To check the utilization of the material
2. The stock of materials kept in the stores in anticipation of future demand is known as
a. Storage of materials
b. Stock of materials
c. Inventory
d. Raw materials.
3. Items in semi-finished form are comes under
a. Production inventories
b. Work in process inventory
c. Finished goods inventories
d. MRO inventories
4. Maintenance, repair and operating items are coming under
a. Production inventories
b. Work in process inventory
c. Finished goods inventories
d. MRO inventories
5. Which of the following is not the direct inventory
a. Production inventories
b. Work in process inventory
c. Finished goods inventories
d. Transit inventories
6. The rent for the stores where materials are stored falls under
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a. Inventory carrying cost
b. Ordering cost
c. Procurement cost
d. Stocking cost.
7. The cost that increases with the increase in the volume of inventory is
a. Shortage cost
b. Ordering cost
c. Procuring cost
d. Inventory carrying cost
8. For uniform demand, infinite production without shortages, the optimum order quantity is
a.
b.
c.
d. None of these
9. Insurance charges of materials cost falls under
a. Ordering cost
b. Inventory carrying cost
c. Stock out cost
d. Procurement cost.
10. The time between two orders t0 and number of orders n0 are related as
a. t0 = n0
b. n0 = 2 t0
c. t0 = 1 / n0
d. None of the above
11. Market demand for springs is 8,00,000 per annum. The cost of making a purchase order is
Rs.1,200. The cost of storage of springs is Rs.120 per stored piece per annum. The
economic order quantity is
a. 400
b. 2,828
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c. 4,000
d. 8,000
12. If the demand for an item is doubled and the ordering cost halved, the EOQ
a. Remains unchanged
b. Increases by a factor of 2
c. Is doubled
d. Is halved
13. In the EOQ model, if the unit ordering cost is doubled, the EOQ is
a. Halved
b. Doubled
c. Increases 1.414 times
d. Decreases 1.414 times
14. If the demand rate is uniform, production rate is finite without shortages, optimum order
quantity is
a.
b.
c.
d. None of the above
15. If the demand rate is uniform, production rate is finite without shortages, optimum time
interval is
a.
b.
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c.
d. None of the above
16. If the demand rate is uniform, production rate is finite without shortages, the optimum
cost is
a.
b.
c.
d. None of the above
17. An item is produced at the rate of 50 items per day. The demand occurs at the rate of 25
units per day. If the set-up cost is Rs. 100/- per run and holding cost is Rs.0.01 per unit of
item per day, the economic lot size is
a. 800
b. 1000
c. 1200
d. 1400
18. An item is produced at the rate of 50 items per day. The demand occurs at the rate of 25
units per day. If the set-up cost is Rs. 100/- per run and holding cost is Rs.0.01 per unit of
item per day, the minimum daily cost is
a. Rs 5
b. Rs 10
c. Rs 100
d. Rs 1000
19. A contractor has to supply 10,000 bearings per day to an automobile manufacturer and he
can produce 25,000 bearings per day. The cost of holding a bearing in stock for one year
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is 20 paise, and setup cost of a production run is Rs. 180/-. Time interval between two
production runs is
a. 0.3 day
b. 0.5 day
c. 1 day
d. None of the above
a.
b.
c.
d. None of the above
22. The demand for an item is uniform and 25 units per month. The set-up cost is Rs. 15/- per
run. The inventory-carrying cost is Rs. 0.30 per item per month. If the shortage cost is Rs.
1.50 per item per month. The optimum order quantity is
a. 45 items
b. 54 items
c. 64 items
d. None of those
23. If the demand rate is uniform, production rate finite and shortages allowed optimum order
quantity is
a.
34
b.
c.
d. None of these
24. The demand for an item in a company is Rs. 12,000 per year and the company can
produce the item at a rate of 2000 units per month. The cost of one setup is Rs. 400/- and
the holding cost is 15 paise per unit per month. The shortage cost of one unit is Rs. 20/-
per year. Optimum order quantity is
a. 3990
b. 3410
c. 3430
d. None of the above
25. The demand for an item in a company is Rs. 12,000 per year and the company can
produce the item at a rate of 2000 units per month. The cost of one setup is Rs. 400/- and
the holding cost is 15 paise per unit per month. The shortage cost of one unit is Rs. 20/-
per year. Maximum inventory is
a. 1544
b. 1554
c. 1564
d. None of the above
26. High reliability spare parts in inventory are known as
a. Reliable spares
b. Insurance spares
c. Capital spares
d. Highly reliable spares.
27. Re-usable spares are known as
a. Multi use spares
b. Repeated useable stores
c. Scrap materials
d. Rotable spares.
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28. If shortage cost is infinity
a. No shortages are allowed
b. No inventory carrying cost is allowed
c. Ordering cost is zero
d. Purchase cost = Carrying cost.
29. Which of the following inventory is maintained to meet expected demand fluctuations
a. Fluctuatory Inventory
b. Buffer stock
c. De- coupling inventory
d. Anticipatory inventory.
30. The ordering cost per order and average unit carrying cost are constant, and demand
suddenly falls by 75 % then EOQ will
a. Decreases by 50 %
b. Does not change
c. Increases by 50 %
d. Decreases by 40%
31. In VED analyses, the letter V stands for
a. Very important material
b. Viscous material
c. Weighty materials
d. Vital materials.
32. In VED analysis, the letter D strands for
a. Dead stock
b. Delayed material
c. Deserved materials
d. Diluted materials
33. The VED analysis depends on
a. Annual consumption cost of materials
b. Unit price of materials
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c. Time of arrival of materials
d. Criticality of materials
34. In ABC analysis, A items require
a. No safety stocks
b. Low safety stock
c. Moderate safety stock
d. High safety stock
35. Classifying items in A, B and C categories for selective control in inventory management
is done by arranging items in the decreasing order of
a. 5 to 10%
b. 10 to 20%
c. 20 to 30 %
d. 70 to 80 %
37. In the ABC method of inventory control, percentage of Group B items is
a. 5 to 10%
b. 10 to 20%
c. 20 to 30 %
d. 70 to 80 %
38. In the ABC method of inventory control, percentage of Group C items is
a. 5 to 10%
b. 10 to 20%
c. 20 to 30 %
d. 70 to 80 %
39. Which of the following analysis neither considers cost nor value
a. ABC
b. XYZ
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c. HML
d. VED
40. In ABC analysis most of the time and effort are used in control of
a. A type of items
b. B type of items
c. C type of items
d. All of the above
Cluster – VI
1. Gradual failure results in
a. Increased running cost
b. Decreased productivity
c. Decreased resale value
d. All of the above
2. Which of the following is the sudden failure?
a. Progressive failure
b. Retrogressive failure
c. Random failure
d. All of the above
3. Decrease in operational efficiency with increase in life is called
a. Gradual failure
b. Sudden failure
c. Random failure
d. None of the above
4. Probability of failure of item is more in the beginning and decreases with life it is called
a. Gradual failure
b. Progressive failure
c. Retrogressive failure
d. Random failure
5. Probability of failure is due to physical shock, irrespective of its age, it is called as
a. Gradual failure
b. Progressive failure
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c. Retrogressive failure
d. Random failure
6. A machine is replaced with average running cost
a. Is not equal to current running cost
b. Till current period is greater than that of next period
c. Of current period is greater than that of next period
d. Of current period is less than that of next period.
7. Which of the following costs are considered to calculate the replacement age?
a. Purchase price
b. Running cost
c. Scrap value
d. All of the above
8. Replacement of an item will become necessary when
a. Old item becomes too expensive to operate or maintain
b. When your operator desires to work on a new machine
c. When your opponent changes his machine in his unit
d. When company has surplus funds to spend.
9. In replacement analysis the maintenance cost is a function of
a. Time
b. Function
c. Initial investment
d. Resale value
10. Which of the following is the correct assumption for replacement policy when money
value does not change with time
a. No Capital cost
b. No scrap value
c. Constant scrap value
d. Zero maintenance cost.
11. When money value changes with time at 10 %, then present worth factor for first year is
a. 1
b. 0.909
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c. 0.852
d. 0.9
12. If the interest rate is “i", discount rate is given by
a. (1 + i)
b. (1 – i)
c. 1 / (1 + i)
d. None of the above
13. When money value changes with time at 20%, the discount factor for 2nd year is
a. 1
b. 0.833
c. 0
d. 0.6955
14. The curve used to interpret machine life cycle is
a. Bath tub curve
b. Time curve
c. Product life cycle
d. Ogive curve
15. If the interest rate is “i", present value of a rupee spent n years hence is
a. (1 + i) – 1
b. (1 + i) n
c. (1 + i) – 2
d. (1 + i) – n
16. Group replacement policy is most suitable for
a. Trucks
b. Infant machines
c. Street light bulbs
d. New cars
17. The following is not discussed in group replacement policy
a. Failure Probability
b. Cost of individual replacement
c. Loss due to failure
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d. Present worth factor series
18. Group replacement policy applies to
a. Irreparable items
b. Reparable items
c. Items that fail partially
d. Items that fail completely
19. The replacement policy that is imposed on an item irrespective of its failure is
a. Group replacement
b. Individual replacement
c. Repair spare replacement
d. Successive replacement
20. Group replacement is applied in case of
a. Large number of identical items
b. Low-cost items
c. More and more likely fail with time
d. All of the above
21. In Dynamic Programming Problems, the decisions are made in
a. Single stage
b. 2-stages
c. Multi-stages
d. No decision-making process
22. In dynamic programming problems, the main problem is divided into subproblems. Each
sub-problem is known as
a. Part
b. Stage
c. State
d. Mini problem
23. The technique of Dynamic Programming problem is developed by
a. Taylor
b. Gilberth
41
c. Richard Bellman
d. Bellman and Clarke
24. Another name used to Dynamic Programming is
a. Multistage problem
b. Recursive optimization
c. State problems
d. No second name
25. If the outcome at any decision stage is unique and known for the problem, then the
Dynamic programming problem is known as
42
c. fn (R) = Rn × fn – 1 (R)
d. None of the above
30. State variable in the capital budgeting problem is
a. Interest
b. Return
c. Capital
d. None of the above
a. Optimal substructure
b. Overlapping sub problems
c. Greedy approach
d. Both optimal substructure and overlapping subproblems
32. If a problem can be broken into subproblems which are reused several times, the problem
possesses ________ property
a. Overlapping of sub problems
b. Optimal substructure
c. Memorization
d. Greedy
33. When dynamic programming is applied to a problem, the time taken for solution
compared to other methods is
a. Equal
b. More
c. Less
34. In dynamic programming the process of storing previously calculated values is called
a. Saving value property
b. Storing value property
c. Memoization
d. Mapping
35. The top-down approach of dynamic programming, usually
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a. Decreases both time complexity and space complexity
b. Decreases time complexity and increases space complexity
c. Increases time complexity and decreases space complexity
d. Increases both time complexity and space complexity
36. If there are “n” number of variables in a problem, the number of stages in dynamic
programming are
a. n – 1
b. n + 1
c. n
d. None of the above
37. The dynamic programming approach is used when
a. Needs optimal solution
b. Solution has optimal sub structure
c. It is faster than greedy
d. All of the above
38. Dynamic programming problem is
a. Single stage optimization problem
b. Two stage optimization problem
c. Multi stage optimization problem
d. None of the above
39. If the outcomes of a dynamic programming problem are more than one with some
probabilities the model is
a. Deterministic model
b. Probabilistic model
c. Static model
d. Dynamic model
40. The best outcome out of the outcomes derived at a stage of the problem is called
a. Optimum decision
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b. Decision at that state
c. Stage decision
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