Operations Management And Strategic Management Paper 9 PDF - MCQ Bank

THE INSTITUTE OF COST ACCOUNTANTS OF INDIA OPERATIONS MANAGEMENT AND STRATEGIC MANAGDEMENT (PAPER - 9) MCQ BANK SL NO QUESTIONS OPTION 1...

THE INSTITUTE OF COST ACCOUNTANTS OF INDIA OPERATIONS MANAGEMENT AND STRATEGIC MANAGDEMENT (PAPER - 9) MCQ BANK SL NO QUESTIONS OPTION 1 OPTION 2 OPTION 3 OPTION 4 1 Om deals with - both tangible and tangible product intangible services tangible product intangible product and intangible services 2 one of the example of pure service : teaching product service repairing service All of the above 3 Objectives of operations management can be categorized into : two three four seven 4 One of the objective of operation management is : product service Customer service planning None of them 5 principal function of customer service are : manufacture-supply- manufacture- mafucture- service- manufacture- transport-service transport-service- transport- supply transport-supply- supply service 6 Conversion of inputs into outputs is known as: Application of Operations Manufacturing Product. technology management products 7 The desired objective of Production and Operations Management Use cheap machinery To train unskilled Optimal utilisation To earn good is: to produce workers to of available resources profits. manufacture goods perfectly 8 Which one of the following is not an activity under productions Location of facilities Plant layouts and Product Design; Market penetration; and operations management? Material Handling; 9 Operations management is concerned essentially with the Obtaining maximum Minimising loss of Minimising All the above utilization of resources. Utilisation of resources means: effect from resources resources, underutilisation or waste of resources 10 Which one of the following is not an objective of Operations To satisfy customers To satisfy To satisfy customers To satisfy Management? by providing right customers by by providing right customers by thing at the right providing right thing at the right providing right place at the right time thing at the right price at right quality thing with right price at the right design with desired time features 11 Productions and Operations Management distinguishes itself from Conversion by using Conversion by Conversion by using Conversion by other functions such as personnel, marketing, finance, etc. mainly intellectual properties using physical services provided by using machineries by its primary concern: of a concern; resources other functions 12 Four dimensions of competitiveness that measure the effectiveness Cost, Quality, Price, worth, Quantity, Quality, Cost, Quality, of the operations function are: Dependability as a Dependability as a Price, Worth Quantity, Price supplier, Flexibility supplier, Productivity 13 Generally the size of the order for production in Job production is: Small Large Medium Very large 14 The desired objective of Production and Operations Management Use cheap machinery To train unskilled Optimal utilisation To earn good is: to produce workers to of available resources profits. manufacture goods perfectly  THE INSTITUTE OF COST ACCOUNTANTS OF INDIA OPERATIONS MANAGEMENT AND STRATEGIC MANAGDEMENT (PAPER - 9) MCQ BANK SL NO QUESTIONS OPTION 1 OPTION 2 OPTION 3 OPTION 4 15 To decide work load for men and machines: Medium range Short term Long range A combination of forecasting is used forecasting is used forecasting is used long range and medium range forecasting is used. 16 The act of assessing the future and make provisions for it is known Planning Forecasting Assessment Scheduling as: 17 The time horizon selected for forecasting depends on: The salability of the The selling capacity Purpose for which Time required for product of Salesman forecast is made production cycle 18 Important factor in forecasting production is: Environmental Available capacity Disposable income Changes in the changes of machines of the consumer preference of the consumer. 19 Application of technology or process to the raw material to add Product Production Application of Combination of use value is known as: technology technology and process. 20 In Production by disintegration the material undergoes: Change in economic Change in physical Change in None of the above value only and chemical technology only characteristics 21 Use of any process or procedure designed to transform a set of Transformation Transformation of Production Technology change. input elements into a set of output elements is known as: process input to output 22 Which one of the following is the external factor impacting Product standards Scheduling Motivation Product mix effective capacity? 23 Increasing capacity utilisation depends on: Ability to increase Ability to increase Ability to increase Ability to increase design capacity effective capacity capacity chunk resource endowments 24 Which one of the following is not within the purview of Long Building a new Expanding the Moving to a new Preparation of Range planning? facility existing facility facility due to overtime budget for forecasted changes workforce in demand 25 The basic difference between slack and float time is that: A slack is used with A float is used with A slack is used with A slack is used with reference to events reference to events reference to critical reference to whereas float is used whereas slack is path whereas float is scheduling whereas with reference to used with reference used with reference float is used with activities to activities to non-critical paths reference to crashing  THE INSTITUTE OF COST ACCOUNTANTS OF INDIA OPERATIONS MANAGEMENT AND STRATEGIC MANAGDEMENT (PAPER - 9) MCQ BANK SL NO QUESTIONS OPTION 1 OPTION 2 OPTION 3 OPTION 4 26 Which one of the following is not a factor in determining Production Schedule Usage rate Manufacturing Cost Cost of Economic Lot Size for manufacturing? Deterioration 27 Which one of the following is not a factor in planning service Period of production Need to be near Inability to store Degree of volatility capacity? customers services of demand 28 It is extra capacity used to offset demand uncertainty. This is: Capacity Cushion = Capacity Cushion = Capacity Tolerance Capacity Cushion = Actual output - Capacity – = Effective capacity - Capacity – Demand Expected demand Actual output Effective Capacity 29 Which one of the following is correct? Capacity decision Capacity decisions Expansionist Wait & see strategy does not affect must link backward strategy does not improves market product lead times & forward channels help a firm to reduce share over the long in the whole its costs and compete run operation chain on price 30 Leading capacity strategy: Builds capacity in Faces increasing Builds capacity in Faces increasing anticipation of demand with the anticipation of consumption with increasing future undeutilised current increasing product unsold stock demand capacity varieties 31 Which one of the following does not reduce effective capacity? Paperwork required Pollution standard Efficient distributors Higher labour by Government on products turnover regulatory agencies 32 Which one of the following is an operational factor that Product standards Quality capabilities Learning rates Quality assurance determines effective capacity? 33 Which one of the following is not a factor impacting effective The design of Product mix Layout of the work Market share capacity? facilities space 34 Benefits of high utilisation are realised only when: Effective capacity is There is high Breakdown There is demand for fully achieved efficiency maintenances are output minimum 35 Key to improving capacity utilisation is: To increase effective To increase design To decrease effective To increase capacity capacity capacity maintenance frequency of the capacity 36 Utilisation of an operation facility is measured by: (Effective (Actual (Actual (Design Capacity)/(Design Output)/(Design output)/(Effective Capacity)/(Effective Capacity)*100 Cpacity)*100 Capacity)*100 Capacity)*100 37 Efficiency of an operation facility is measured by: (Effective (Actual (Actual (Design Capacity)/(Design Output)/(Design output)/(Effective Capacity)/(Effective Capacity)*100 Cpacity)*100 Capacity)*100 Capacity)*100  THE INSTITUTE OF COST ACCOUNTANTS OF INDIA OPERATIONS MANAGEMENT AND STRATEGIC MANAGDEMENT (PAPER - 9) MCQ BANK SL NO QUESTIONS OPTION 1 OPTION 2 OPTION 3 OPTION 4 38 Out of Balance Capacity occurs: When there is a gap When there is a gap When there is a gap When there is a gap between supply and between long term between current and between actual demand supply and long desired capacity supply and EOQ term demand supply 39 The goal of capacity planning of an organisation is: To achieve a match To achieve a level To achieve a level of To achieve a match between its long term of operation so that operation so that between its long supply capabilities supply failure could periodic mean term supply and the actual level be maintained at ≤ operation remain capabilities and the of long term demand 1% of long term within 95% of long predicted level of demand term demand long term demand 40 Capacity refers to: An upper limit or A range from a A limit on the load An upper limit of ceiling on the load lower limit to an that an operating unit load which an that an operating unit upper limit of load could handle only operating unit could can handle through which an with 5% deviation break during operating unit emergency could operate 41 This denotes the highest output established by the actual trial runs Design capacity Rated capacity Effective capacity Licensed capacity of the productive machines installed. This is: 42 Which one of the following is not a key question in Capacity What kind of What kind of How much capacity When the capacity planning? capacity is needed? facilities are is needed to match is it needed? needed? demand? 43 Capacity Utilisation is: The degree to which The degree to The degree to which The degree to which a resource such as which a resource a resource such as a resource such as equipment, space or such as equipment, equipment, space or equipment, space or the workforce is space or the the workforce is the workforce is currently being used workforce is currently being used currently being used currently being for achieving for achieving held as reserve installed capacity optimisation 44 Actual Output cannot exceed effective capacity because of: Problems of Rejection due to Need for periodic Changing product scheduling & quality problems maintenance of mix balancing operations equipment 45 Need for periodic maintenance of equipment always makes Licensed capacity > Installed capacity < Design capacity > Licensed capacity = Installed capacity Effective capacity Effective capacity Effective capacity 46 If design capacity is reduced by allowances such as personal time Design capacity Effective capacity Installed capacity Licensed capacity and maintenance, the resultant capacity is:  THE INSTITUTE OF COST ACCOUNTANTS OF INDIA OPERATIONS MANAGEMENT AND STRATEGIC MANAGDEMENT (PAPER - 9) MCQ BANK SL NO QUESTIONS OPTION 1 OPTION 2 OPTION 3 OPTION 4 47 This capacity is the maximum rate of output achieved under ideal Design capacity Effective capacity Installed capacity Licensed capacity conditions. This is: 48 Which one of the following is an output measure of Capacity? Total capacity of Total Capacity of Z The Aluminum giant The oil AKC Motors in India steel plant is XYZ produces 30mt conglomerate ABC is 300000 machine 720000labour in a day has 80000gallon hours in a year hours in a year refinery size 49 Which one of the following is a feature of input measure of It is less applicable It is used mainly in Capacity is usually It is applicable capacity? when the amount of case of high volume expressed as number when the firm customization and processes such as of workstations or provides a relatively variety in the product car manufacturers number of workers small number of mix increases standardized services and products 50 Which one of the following is not a feature of output measure of It is applicable when It is used mainly in It is generally used It is less applicable capacity? the firm provides a case of high volume for low volume, when the amount of relatively small processes such as flexible processes customization and number of car manufacturers such as furniture variety in the standardized services maker product mix and products increases 51 Which one of the following is a feature of wait and see strategy? It facilitates a firm to It guards against It might increase the It results economies compete on price inaccurate firm’s market share of scale assumptions regarding competition 52 Which one of the following is not a feature of expansionist It involves large It minimizes the It stays ahead of It lags behind strategy? infrequent jumps in chance of sales lost demand demand capacity to insufficient capacity 53 The capacity cushion is: The amount of The amount of The amount of The amount of installed capacity a licensed capacity a declared capacity a reserve capacity a process uses to process uses to process uses to process uses to handle sudden handle sudden handle sudden handle sudden increase in demand increase in demand increase in demand increase in demand  THE INSTITUTE OF COST ACCOUNTANTS OF INDIA OPERATIONS MANAGEMENT AND STRATEGIC MANAGDEMENT (PAPER - 9) MCQ BANK SL NO QUESTIONS OPTION 1 OPTION 2 OPTION 3 OPTION 4 54 Capacity decisions are strategic because: Capacity decisions Capacity decisions Capacity at Capacity decisions affect financing costs can affect facility appropriate level can affect location facilitates easier competitiveness management of product life cycle 55 Capacity decisions often involve Long term Short term Long term revocable (b) & (c) above irrevocable irrevocable commitment of commitment of commitment of resources resources resources 56 Long-term capacity plans are concerned with: Overtime budgets Investments in new Work force size Inventories facilities 57 Capacity planning procedure does not involve which one of the Assess company Translate future Determine economic Selecting a capacity following? situation and predictions of effects of alternative alternative most environment to demand into plans suited to achieve analyse historical physical capacity strategic mission of demand requirements the firm. 58 Which one of the following is not affected by Capacity decisions? Product lead times Customer Operating Costs Resource Responsiveness optimisation 59 Capacity planning is a Long term makeover Long term Long term Long term strategic decision that realignment restructuring decision that establishes a firm’s decision that decision that establishes a firm’s overall level of establishes a firm’s establishes a firm’s overall level of resources overall level of overall level of resources resources resources 60 Which one of the following is the result of excess capacity? Loss of customers Restricts growth Drain company’s All the above resources 61 Aggregate Resource Planning becomes a challenge when demand Demand forecasts are Producing at a Resources necessary Minor variations in fluctuates over the planning horizon. Under this case which one of converted to resource constant rate and to meet demand over demand are handled the following is correct? requirements using inventory to the time horizon are with overtime or absorb fluctuations acquired under time in demand 62 The four step systematic approach to plan for long term capacity Estimate future Estimate future Identify gaps by Develop alternative decisions does not involve: productivity capacity comparing plans for reducing requirement requirements requirements with the gaps available capacity 63 In operation sequence if capacity of a facilty is lower than the Unutilised operation Flexible operation Rigid operation Bootleneck capacities of other facilities in the sequence it is: operation  THE INSTITUTE OF COST ACCOUNTANTS OF INDIA OPERATIONS MANAGEMENT AND STRATEGIC MANAGDEMENT (PAPER - 9) MCQ BANK SL NO QUESTIONS OPTION 1 OPTION 2 OPTION 3 OPTION 4 64 Which one of the following is not an objective of MRP? Inventory Reduction Realistic delivery Reduction in the Reasonable commitments manufacturing and production schedule delivery lead times 65 Which one of the following is not a characteristics of Aggregate Both output and sales Acceptable forecast A method of Availability of Planning? should be expressed for the period identification and alternatives for in a logical overall covering the whole fixing the relevant meeting the unit of measuring planning horizon costs associated with objective of the the plant. organization 66 Which one of the following is correct with respect to long range It is used to It is used to It is used to plan for It is used to plan for forecast? determine budgetary determine dividend capacity adjustments material requirement control over expenses policy 67 The card which is prepared by the dispatching department to book Labour card Wage card Credit card Job card the labour involved in each operation is : 68 One of the product examples for Line Layout is : Repair Workshop Welding shop Engineering College Cement 69 The following establishes time sequence of operations: Routing Sequencing Scheduling Dispatching 70 The act of going round the production shop to note down the Follow up Dispatching Routing Trip card progress of work and feedback the information is known as: 71 In aggregate planning one of the methods used to modification of Advertising and sales Development of Backlogging Hiring and lay off supply is: promotion complimentary of employees products depending on the situation. 72 In aggregate planning, one of the methods in modification of Differential Pricing Lay off of Over time working Sub-contracting. demand is: employees 73 One of the requirements of Aggregate Planning is: Both output and sales Appropriate time List of all resources List of operations should be expressed period available required. in a logical overall unit of measuring 74 The study of relationship between the load on hand and capacity Scheduling Loading Routing Controlling. of the work centers is known as: 75 Scheduling deals with: Number of jobs to be Number of machine Different materials Fixing up starting done on a machine tools used to do a used in the product and finishing times job of each operation in doing a job. 76 Scheduling shows: Total cost of Total material cost Which resource The flow line of production should do which job materials. and when  THE INSTITUTE OF COST ACCOUNTANTS OF INDIA OPERATIONS MANAGEMENT AND STRATEGIC MANAGDEMENT (PAPER - 9) MCQ BANK SL NO QUESTIONS OPTION 1 OPTION 2 OPTION 3 OPTION 4 77 Final stage of production planning, where production activities are Scheduling Loading Expediting Routing. coordinated and projected on a time scale is known as: 78 (Total station time/Cycle time × Number of work stations) × 100 Line Efficiency Line smoothness Balance delay of line Station efficiency. is known as: 79 In solving a problem on LOB, the number of workstations Cycle time/Total Cycle Total time/Element Total time/ Cycle required is given by: time time/Element time time time. 80 Number of product varieties that can be manufactured in Mass One only Two only Few varieties in Large varieties in production is: large volumes small volumes. 81 Generally in continuous production the production is carried out Customer’s order Government orders For stock and supply Few rich customers to: only 82 Inventory cost per product in intermittent production is Higher Lowest Medium Abnormal. 83 The material handling cost per unit of product in Continuous Highest compared to Lower than other Negligible Cannot say. production is: other systems systems 84 Routing and Scheduling becomes relatively complicated in: Job production Batch production Flow production Mass production 85 Number of product varieties that can be manufactured in Job Limited to one or two Large varieties of One only None of the above. production is: products 86 In general number of product varities that can be manufactured in One only Ten to twenty Large varities Five only Flow production is: varities 87 Generally the size of the order for production in Job production is: Small Large Medium Very large 88 For a marketing manager, the sales forecast is: Estimate of the Arranging the sales To distribute the To plan the sales amount of unit sales men to different goods through methods. or a specified future segments of the transport to satisfy period market the market demand 89 Most suitable layout for Job production is: Line layout Matrix layout Process layout Product layout. 90 Most suitable layout for Continuous production is: Line layout Process Layout Group technology Matrix layout. 91 One of the important basic objectives of Inventory management is: To calculate EOQ for To go in person to To employ the Once materials are all materials in the the market and available capital issued to the organisation purchase the efficiently so as to departments, materials yield maximum personally check results how they are used. 92 MRP stands for: Material Material Material Requisition Material Recording Requirement Reordering Procedure Procedure. Planning Planning 93 In route sheet or operation layout, one has to show: A list of Materials to A list of machine Every work center The cost of product. be used tools to be used and the operation to be done at that work center  THE INSTITUTE OF COST ACCOUNTANTS OF INDIA OPERATIONS MANAGEMENT AND STRATEGIC MANAGDEMENT (PAPER - 9) MCQ BANK SL NO QUESTIONS OPTION 1 OPTION 2 OPTION 3 OPTION 4 94 A steel plant has a design capacity of 50,000 tons of steel per day 90% 72% 80% 110% ,effective capacity of 40,0000 tons of steel per day and actual output of 36,0000 tons of steel per day. Compute the efficiency of the plant. 95 A firm has four work centres A,B,C & D , in series with 80.33% 77.66% 99% 88.23% individual capacities in units per day shown in below : raw material A - 380 B - 360 C- 340 D - 400 ---- Actual output 300, what is the efficiency system. 96 The monthly requirement of raw material for a company is 3000 458 units 548 units 448 units 844 units units.The carrying cost is estimated to be 20% of the purchase price per unit ,in addition to rs 2 per unit.The purchase price of raw material is rs 20 per unit.The ordering cost is Rs 25 per order. You are required to find EOQ. 97 EOQ is 102 units ,maximum usage 200 units , maximum delivery 1502 units 1202 units 1402 units 1302 units period 8 weeks , minimum usage 50 units, minimum delevery period 6 weeks , calculate maximum level of stock. 98 M/s Kobo Bearing Ltd is committed to supply 24,000 bearings per 3600 units 1200 units 7200 units 8400 units annum to M/s Deluxe fans on a steady daily basis.It is estimated that it costs 10 paisa as inventory holding cost per bearing per month and that the setup cost per run of bearing manufacture is 324.What is the optimum run size for bearing manufacture ? 99 In general, medium range forecasting period will be 5 to 10 Years 2 to 3 days 3 to 6 months 10 to 20 years. approximately: 100 To plan for future man power requirement: Short term Long range Medium range There is no need to forecasting is used forecasting is used forecasting is used use forecasting, as future is uncertain. 101 Long range forecasting is useful in: Plan for Research To Schedule jobs in In purchasing the To assess and Development Job production material to meet the manpower required present production in the coming demand month.  THE INSTITUTE OF COST ACCOUNTANTS OF INDIA OPERATIONS MANAGEMENT AND STRATEGIC MANAGDEMENT (PAPER - 9) MCQ BANK SL NO QUESTIONS OPTION 1 OPTION 2 OPTION 3 OPTION 4 102 Medium range forecasting is useful in: To assess the loading To purchase a To plan for-capacity To decide whether capacity of the materials for next adjustments to receive machine month production orders or not. 103 To decide work load for men and machines: Medium range Short term Long range A combination of forecasting is used forecasting is used forecasting is used long range and medium range forecasting is used. 104 For production planning: Shot term forecasting Medium term Long term Forecasting is not is useful forecasting is useful forecasting is useful useful. 105 Monthly demand for a component is 1000 units. Setting-up cost 1200 units 1400 units 1440 units 1000 units per batch is ` 120. Cost of manufacture per unit is ` 20. Rate of interest may be considered at 10% p.a. Calculate the EBQ. 106 Daily demand for a certain product is normally distributed with a 336 units 936 units 633 inits 393 units mean of 60 and standard deviation of 7. The source of supply is reliable and maintain a constant lead time of six days. The cost of placing the order is ` 10 and annual holding costs are ` 0.50 per unit. There are no stock out costs, and unfilled orders are filled as soon as the order arrives. Assume sales occur over the entire 365 days of the year.Find the. Find the order quantity. 107 Consider the following item that is being managed using a fixed 24.8 turns per year 84.2 turns per year 80 turns per year None of the above. time period model with safety stock Weekly demand (d) = 50 units Review cycle (T) = 3 weeks Safety stock (SS) = 30 units What are the average inventory turn for the item? 108 Addition of value to raw materials through application of Product Production Advancement Transformation technology is : 109 Cost reduction can be achieved through : Work sampling Value analysis Quality assurance Supply chain management. 110 Production control is concerned with: Passive assessment Strict control on Good materials Good product of plant performance labours management design. 111 The starting point of Production cycle is: Product design Production Planning Routing Market research.  THE INSTITUTE OF COST ACCOUNTANTS OF INDIA OPERATIONS MANAGEMENT AND STRATEGIC MANAGDEMENT (PAPER - 9) MCQ BANK SL NO QUESTIONS OPTION 1 OPTION 2 OPTION 3 OPTION 4 112 Variety reduction is generally known as: Less varities Simplification Reduced varities None of the above. 113 Preferred numbers are used to: To determine the To the test the To ascertain the To evaluate the number of varities design of the quality level of the production cost. that are to be product product manufactured 114 There are ______ stages of Design thinking. 5 3 4 2 115 Generally in continuous production the production is carried out Customer’s order Government orders For stock and supply Few rich customers. to: only 116 The material handling cost per unit of product in Continuous Highest compared to Lower than other Negligible Cannot say. production is: other systems systems 117 Routing and Scheduling becomes relatively complicated in: Job production Batch production Flow production Mass production. 118 In Process Planning we plan: Different machines Different We plan the flow of We design the required operations required material in each product. department 119 In Operation Planning The planner plans Decide the tools to Decide the machine Decide the materials each operation to be be used to perform to be used to perform to be used to done at work centers the operations the operation produce the product and the sequence of operations 120 One of the important production documents is: Design sheet of the List of materials Route card Control chart. product 121 The scope of Production Planning and Control is: Limited to Limited to Limited to Unlimited, can be Production of production of production of applied to any type products only services only services and of activity. products only 122 Which one of the following product is not suitable for flow shop Car Petrol Steel Invitation Card scheduling? 123 Which one of the following is a Sequencing rule for single facility? EVPI DFA MAD LPT  THE INSTITUTE OF COST ACCOUNTANTS OF INDIA OPERATIONS MANAGEMENT AND STRATEGIC MANAGDEMENT (PAPER - 9) MCQ BANK SL NO QUESTIONS OPTION 1 OPTION 2 OPTION 3 OPTION 4 124 The main question in an assignment problem is: How the assignments How the How the assignments How the should be made in assignments should should be made in assignments should order that the total be made in order order that the total be made in order cost involved in that the total time involved in that inter activities is resources involved activities is dependence among minimized in activities is minimized all activities is optimised minimized 125 Linear Programming is a technique used for determining: Production Plant Layout Product Mix Manufacturing Programme sequence 126 In a linear programming model feasible solution is: The basic solution to Any solution that A solution which A basic solution to the general L.P also satisfies the optimize (maximize the system of problem non-negative or minimize) the equations if one or restrictions of the objective function of more of the basic general L.P problem a general L.P variables become problem equal to zero 127 Which one of the following is not a limitation of linear Model can be applied Model can be Model can be Model cannot be programming model? only in situations applied only when applied only to all applied to give a where objective coefficients in the real world problems solution if functions can be constraints which are not management have expressed in terms of equations must be complex in nature conflicting multiple linear expressions completely known goals. 128 Which of the following is not a method for solving Assignment Complete Hungarian method Simplex method Natural method problem? Enumeration method 129 Simulation is the representation of a real life situation by different It may be the only It may not be Actual observation All the above means. It is popular because- method available as possible to develop of a system may be it is difficult to a mathematical too expensive or too observe the actual model disruptive environment 130 In sequencing it is the difference between the time remaining to STR SOT SPT DDATE due date and the remaining processing time. It is: 131 Selection of plant location is influenced by few factors. Which Existence of Availability of Civic Amenities for Government’s one of the following is not a factor? Complementary Labour Workers EXIM Policy Industries 132 In a queuing system, the speed with which service is provided can Service start time and Service rate and Arrival rate and Service Inflow rate be expressed in either of two ways— Service finish time Service time Service rate and Service outflow rate  THE INSTITUTE OF COST ACCOUNTANTS OF INDIA OPERATIONS MANAGEMENT AND STRATEGIC MANAGDEMENT (PAPER - 9) MCQ BANK SL NO QUESTIONS OPTION 1 OPTION 2 OPTION 3 OPTION 4 133 The most powerful and popular method for solving linear Simplex method Graphical method Transportation Assignment method programming problem is: method 134 One of the important charts used in Programme control is: Material chart Gantt chart Route chart Inspection chart 135 Issuing necessary orders, and taking necessary steps to ensure that Routing Dispatching Scheduling Inspection. the time targets set in the schedules are are effectively achieved is known as: 136 Arrangement of machines depending on sequence of operations Process Layout Product Layout Hybrid Layout Group Technology happens in: Layout. 137 Computers are used in Production control in this area: Follow-up activity To control labour To disseminate Loading, information Scheduling and Assignment works. 138 Z-chart can be used to show: Process used in Quality level of the Both the plan and To show cost production product the performance, and structure of the deviation from the product plan 139 ‘Z’ chart is a chart used in: Programme control Job control Cost control Quality control. 140 One of the activities of expediting is: To file the orders in To decide the To record the actual To examine the sequence sequence of production against tools used in operation the scheduled production production 141 When work centers are used in optimal sequence to do the jobs, Minimise the set up Minimise operation Minimise the Minimise the utility we can: time time breakdown of of facility. machines 142 The way in which we can assess the efficiency of the production Efficient dispatching By manufacturing a By comparing the By efficient plant is by: good product actual performance production planning. with targets specified in the specified programme 143 The first stage of Production control is: Dispatching Scheduling Routing Triggering of production operations and observing the progress and record the deviation  THE INSTITUTE OF COST ACCOUNTANTS OF INDIA OPERATIONS MANAGEMENT AND STRATEGIC MANAGDEMENT (PAPER - 9) MCQ BANK SL NO QUESTIONS OPTION 1 OPTION 2 OPTION 3 OPTION 4 144 Production planning in the intermediate range of time is termed as: Production planning Long range Scheduling Aggregate planning production planning 145 One of the principles of Scheduling is: Principle of optimal Principle of Principle of optimal Principle of optimal product design selection of best operation sequence cost. material 146 One of the aims of loading is: To finish the job as To minimise the To improve the To keep operator early as possible material utilisation quality of product idle time, material waiting time and ancillary machine time at minimum. 147 The cycle time selected in balancing a line must be: Must be greater than Must be less than Must be slightly Left to the choice of the smallest time the highest time greater than the the problem solver. element given in the element given in highest time element problem the problem given in the problem 148 In solving a problem on LOB, the number of workstations Cycle time/Total time Cycle time/Element Total time/Element Total time/ Cycle required is given by: time time time. 149 Production planning deals with: What production What to produce What should be the What is the life of facilities is required and when to demand for the the product? and how these produce and where product in future facilities should be to sell laid out in space available 150 The first stage in production planning is: Process Planning Factory Planning Operation Planning Layout planning. 151 In Process Planning we plan: Different machines Different We plan the flow of We design the required operations required material in each product. department 152 Economies of scale occurs when Single facility is used Production or Quantity discounts Operating for multiple purposes operating costs are not available for efficiency increases increase linearly material purchases; as workers gain with output levels experience 153 In an organisation the production planning and control department Planning department Manufacturing Personal department R & D department. comes under: department 154 In Job production system, we need: More unskilled Skilled labours Semi-skilled labours Old people. labours  THE INSTITUTE OF COST ACCOUNTANTS OF INDIA OPERATIONS MANAGEMENT AND STRATEGIC MANAGDEMENT (PAPER - 9) MCQ BANK SL NO QUESTIONS OPTION 1 OPTION 2 OPTION 3 OPTION 4 155 Wanda’s Car Wash & dry is an automatic, five-minute operation 10 minutes 20 minutes 15 minutes None of the above. with a single bay. On a typical Saturday morning, cars arrive at a mean rate of eight per hour, with arrivals tending to follow a Poisson distribution. Find The average time cars spend in line and service. 156 A departmental store has one cashier. During the rush hours, 10 customers 5 customers 15 customers 20 customers customers arrive at a rate of 20 per hour. The average number of customers that can be handled by the cashier is 24 per hour. Assume the conditions for use of the single – channel queuing model. Find out average customer spends in the system 157 As a tool service centre the arrival rate is two per hour and the 0.777 hours 0.667 hours 0.600 hours 0.700 hours service potential is three per hour. Simple queue conditions exist. The hourly wage paid to the attendant at the service centre is `1.50 per hour and the hourly cost of a machinist away from his work is ₹ 4. Calculate:The average time a machinist spends waiting for service. 158 The act of going round the production shop to note down the Follow up Dispatching Routing Trip card. progress of work and feedback the information is known as: 159 Line of Best fit is another name given to: Method of Least Moving average Semi average method Trend line method. Squares method 160 JIT stands for: Just in time purchase Just in time Just in time use of Just in time order production materials the material. 161 The lead-time is the time To placeholders for Time of receiving Time between Time between materials materials receipt of material placing the order and using materials and receiving the materials. 162 Before thinking of routing, the production planner has to: Decide the optimal To decide what To decide how much To count how many allocation of type of labour to be of material is orders he has on his available resources used required hand. 163 The quantities for which the planner has to prepare production Optimal quantity of Material planning Quantity planning Planning quantity plan are known as: products standards. 164 The document, which is used to show planning quantity standards Planning Route sheet Bill of materials Operation sheet. and production plan, is known as: specifications 165 The study of relationship between the load on hand and capacity Scheduling Loading Routing Controlling. of the work centers is known as: 166 The method used in scheduling a project is: A schedule of Outline Master PERT & CPM Schedule for large breakdown of orders Programme and integrated work.  THE INSTITUTE OF COST ACCOUNTANTS OF INDIA OPERATIONS MANAGEMENT AND STRATEGIC MANAGDEMENT (PAPER - 9) MCQ BANK SL NO QUESTIONS OPTION 1 OPTION 2 OPTION 3 OPTION 4 167 Production planning in the intermediate range of time is termed as: Production planning Long range Scheduling Aggregate planning. production planning 168 The act of releasing the production documents to production Routing Scheduling Expediting Dispatching. department is known as: 169 The way in which we can assess the efficiency of the production Efficient dispatching By manufacturing a By comparing the By efficient plant is by: good product actual performance production planning. with targets specified in the specified programme 170 Production control concerned with: Passive assessment Strict control on Good materials Good product design of plant performance labours management 171 Which one of the following is not a factor affecting productivity? Product design Material handling Inventory control Master production system schedule 172 Which one of the following is not correct? Productivity can be Productivity relates For countries, high Productivity improved by to a fixed set of productivity rates measures are used changing work tools or conditions can reduce the risk to judge the methods of inflation effective use of resources 173 Which one of the following is not a factor for determination of Scheduling Labour turnover Union attitudes EOQ effective capacity? 174 A device of expressing the ratio between outputs and the inputs of Productivity Index Efficiency Index Performance Index Resource Index the resources in numerical terms is named as: 175 Most important benefit to the consumer from efficient production He can save money He will have He gets increased He can get the system is: product of his use value in the product on credit. choice easily product available 176 In Continuous manufacturing system, we need: General purpose Special machine Semi automatic General purpose machines and Skilled tools and highly machines and machines and labours skilled labours unskilled labours unskilled labours 177 The best way of improving the productivity of capital is: Purchase automatic Effective Labour To use good Productivity of machines control financial capital is to be management increased through effective materials management.  THE INSTITUTE OF COST ACCOUNTANTS OF INDIA OPERATIONS MANAGEMENT AND STRATEGIC MANAGDEMENT (PAPER - 9) MCQ BANK SL NO QUESTIONS OPTION 1 OPTION 2 OPTION 3 OPTION 4 178 There are two industries A and B manufacturing hose couplings. 15/16, 5/8 7/24 , 9/16 3/8 , 2/5 none of the above The standard time per piece is 15 minutes. The output of two small scale industries is 30 and 20 respectively per shift of 8 hours. Find the productivity of each per shift of 8 hours. 179 Calculate the standard production per shift of 8 hours duration, 45.61 units 54.61 units 51.64 units 61.54 units with the following data: Observed time per unit = 5 minutes, Rating Factor -120%, Total allowances = 30% of normal time. 180 ISO 9004 only establishes guidelines related to: operation design quality none of the above 181 for Quality Assurance in Design, Production, Installation, and ISO 9002 Model ISO 9001 Model ISO 9003 Model none of the above Servicing the _____ model is used. 182 for Quality Assurance in Production and Installation the _____ ISO 9002 Model ISO 9001 Model ISO 9003 Model none of the above model is be used. 183 for Quality Assurance in Final Inspection Test the _____ model is ISO 9002 Model ISO 9001 Model ISO 9003 Model none of the above be used. 184 A cement factory in Madhya Pradesh works 7 days a week in 3 20 tonnes 30 tonnes 25 tonnes 15 tonnes shifts per days having maintenance in the first shift of around 2 hours. It has roughly 100 workers which produces only pozzolanic properties cement better known as PPC. The output per month is around 2500 tonnes of PPC. Find the productivity per worker? 185 The difference between product system and project system is: Project system the In Product system Project system Products cannot be equipment and the machinery and produces only stocked whereas machinery are fixed equipment are fixed standardized projects can be where as in product and in project products and product stocked. system they are system they are not system produces movable fixed only unstandardised products 186 Fixing the flow lines of materials in production is known as: Scheduling Loading Planning Routing. 187 The activity of specifying when to start the job and when to end Plaining Scheduling Timing Follow-up. the job is known as: 188 A network : Is a graphical Is a graphical Is a graphical All the above representation of all representation of all representation of all the activities and the activities the events. events.  THE INSTITUTE OF COST ACCOUNTANTS OF INDIA OPERATIONS MANAGEMENT AND STRATEGIC MANAGDEMENT (PAPER - 9) MCQ BANK SL NO QUESTIONS OPTION 1 OPTION 2 OPTION 3 OPTION 4 189 While evaluating existing or proposed service systems, operation Relate to potential Relate cost of Relate cost of Relate to potential manager: customer parallel facilities multiple queues with customer dissatisfaction and with single queue cost of serve satisfaction and costs: service quality 190 Probalistic time is dividded into : 3 2 4 6 191 Gantt Chart is a principal tool used in : Scheduling Loading Planning Routing. 192 The event from where more than one activity starts- Merge event Brust Event start event event nodes 193 Free float means or is equal to- Total float - Slack Independent Float Independent Float - PERT time of the head event +Tail Slack Head Slack 194 The critical path analysis is an important tool in production Loading scheduling Routing. All the above planning and_________ 195 Final stage of production planning, where production activities are Scheduling Loading Planning Routing coordinated and projected on a time scale is known as: 196 One of the principles of Scheduling is: Principle of optimal Principle of Principle of optimal Principle of optimal product design selection of best operation sequence cost. material 197 Which one of the following statements is NOT correct? LFT is calculated Slack can be EFT is the sum of The Total Project from the LFT of the calculated by the EST and the time time is the shortest head event. adding EFT and of duration for any possible time LFT of any job. event required in completing the project. 198 With reference to project management, identify which of the Gantt chart is a Routing is the first The cost of any The free float can following statement is NOT correct? principal tool used in step in the activity is be calculated by scheduling and also production proportional to its subtracting EFT in some methods of planning. time of completion. from EST. loading. 199 Issuing necessary orders, and taking necessary steps to ensure that Routing Dispatching Scheduling Inspection. the time targets set in the schedules are effectively achieved is known as: 200 Which one of the following is the benefit of keeping standby Utilisation of Appropriate Availability of Protection against a machines? Additional space investment of Additional complete shutdown additional capital Depreciation 201 Preventive maintenance is useful in reducing: Inspection Cost Shutdown Cost Cost of pre- mature Set-up cost of replacement machine 202 When work centers are used in optimal sequence to do the jobs, Minimise the set up Minimse operation Minimise the break Minimise the utility we can: time time down of machines of facility.  THE INSTITUTE OF COST ACCOUNTANTS OF INDIA OPERATIONS MANAGEMENT AND STRATEGIC MANAGDEMENT (PAPER - 9) MCQ BANK SL NO QUESTIONS OPTION 1 OPTION 2 OPTION 3 OPTION 4 203 Preventive maintenance policy is justified only when The average The average The average The average downtime and its downtime and its downtime and its downtime t is less cost is equal to the cost is greater than cost is less than the than the average average time taken to the average time average time taken to time taken to carry carry out breakdown taken to carry out carry out breakdown out breakdown repairs breakdown repairs repairs repairs 204 Which one of the following is not correct? Preventive Preventive Preventive Preventive maintenance reduces maintenance maintenance Lower maintenance breakdowns and increases number of unit cost of the improves industrial downtime large scale repairs product relations manufactured, 205 Production department or maintenance department depending on preventive capacity planning project maintenance all of them the size of the plant generally takes up: maintenance work. 206 The main problem in maintenance analysis is to________ the Stable plan minimise replace overall cost of maintenance without sacrificing the objectives. 207 In some cases the__________ and inconvenience due to cost loss time intervals breakdown of equipment is so high that standby equipment is kept. 208 ____________ while the equipment is running or during pre- Routine maintenance preventive replacement break down planned shut-downs. maintenance maintenance 209 Which one of the following is NOT the advantage of Preventive Better product quality Greater safety to Increased Fewer large-scale Maintenance? workers breakdowns and repairs downtime 210 Identify which one of the following is NOT the objective of the To keep all To ensure specified To keep the down To keep the maintenance: production facilities accuracy to time of the machine production cycle and allied facilities in products and time at the maximum. within the an optimum working schedule of stipulated range. condition. delivery to customers 211 One of the objectives of maintenance is: to prevent to ensure spare to satisfy customers. to extend the useful obsolescence parts management. life of Plant & Machinery without sacrificing the level of performance 212 The monitoring, evaluating and disseminating of information from Strategy Formulation Evaluation and Strategy Environmental the external and internal environments to key people within the control Implementation