LEVEL V COC EXAMINATION QUESTIONS

PART ONE:- MULTIPLE CHOICES QUESTIONS

1. Writing a business plan can ensure that an entrepreneur

A. Figures out how to make her business work.

B. Meets his target revenue goals.
C. Achieves her expense projections.

2. Making the beliefs, values, and behavioral norms explicit and intentional builds the
__________ of an organization.

A. Mission
B. Culture
C. vision

3. Publicity is _______ promotion through media outlets.

A. Free
B. Paid
C. discounted

4. The _________ analysis addresses the roles of the community, region, nation, and world in a
business.

A. Environmental
B. Industry
C. business

5. The cover page of a business plan should contain

A. Key financial highlights.

B. Contact information.
C. The funding request.

6. The quick verbal summary of a business plan is called a(n)

A. Elevator pitch.
B. Concept pitch.
C. Business pitch.
7. Dividing fixed costs by gross profit per unit yields

A. Cost ratio.
B. Breakeven units.
C. Profitability ratio.

8. A _____________ is a document that thoroughly explains a business idea and how it will be
carried out.

A. Marketing plan
B. Financial analysis
C. Business plan

9. The ______________ section of the business plan should be written last.

A. Financial statements
B. Executive summary
C. Appendices

10. A business plan should be _______________ to convey critical information to potential

investors.

A. Long and detailed

B. Crisp and concise
C. Complex and technical
 PART TWO GENERAL QUESTIONS

1. Long-term capacity planning deals with which of the following factors?

A. Investment in new facilities

B. Overtime budgets
C. Workforce size
D. Inventories

2. Input measures of capacity are preferred when there is/are:

A. Flexible flow processes.

B. High-volume processes.
C. Service processes.
D. Low customization.

3. A measure of the reserve capacity a process has to handle in unexpected increases in demand
is the:

A. Capacity constraint limit.

B. Capacity bottleneck.
C. Capacity cushion.
D. Capacity utilization rate.

4. In general, a less capital-intensive industry such as a hotel chain would do well with a
utilization rate of:

A. 30-40%.
B. Approximately 18%.
C. 60-70%.
D. 100%.

5. An expansionist capacity strategy is NOT indicated when:

A. Expansion will lead to economies of scale.

B. Capacity expansion is consistently ahead of demand.
C. Expansion is made in large increments.
D. A preemptive marketing strategy is used.

6. Chang and Chang observe that the competition is increasing the size of its warehouses. They
have decided to do the same. They are following a ____________ strategy.

A. expansionist
B. Theory of Constraints
C. wait-and-see
 D. follow the leader

7. Jorge Ortega has been using a 10 percent capacity cushion, servicing 60 customers an hour.
There is a good deal of customer contact, and customer service has been poor due to random
fluctuations in demand. If he increases his capacity cushion to 20%, what will be the new
capacity requirement?

A. 67
B. 60
C. 75
D. 80

8. When evaluating alternative capacity decisions, qualitative concerns exclude:

A. Competitive reaction.
B. Uncertainties about demand.
C. Technology change.
D. Cash flow.

9. Under ideal conditions, a picture frame manufacturing facility can produce 480 frames per
day. Under normal conditions, the company schedules 135 frames per day. Current market
conditions and production strategy have combined to limit production to 120 frames per day.
What is the approximate utilization rate for current capacity?

A. 75%
B. 89%
C. 25%
D. 112%

10. Anna’s landscaping business has a capacity gap; which alternative can best be described as
“simply to do nothing”?

A. Follow-the leader strategy

B. Expansionist strategy
C. Wait-and-see strategy
D. Base-case strategy

11. A truck stop along the interstate uses fuel pumps that operate at 6 gallons per minute. The
service volume is 200 trucks per day and the truck stop operates 24/7/365. It has been
determined that the average purchase is 90 gallons and effective utilization is given as 60%. How
many pumps should be available to accommodate this business volume?

A. 8
B. 2
 C. 4
D. 6

12. An item that has been built to stock has yet to be sold. Which TOC operational measure is
used to describe it in its current state?

A. Utilization
B. Operational expense
C. Throughput
D. Inventory

13. A process consists of steps A, B, and C with capacities of 50 units per hour, 40 units per
hour, and 60 units per hour respectively. Which of the following statements is best?

A. There should be a small amount of inventory in front of step C.

B. There should be a small amount of inventory in front of step B.
C. If step A is improved so it can produce one unit per minute, the company has saved
about 8 minutes per hour.
D. If demand is 50 units per hour, the manager should try to balance capacity with
demand so that steps A, B, and C each have a capacity of 50 units per hour.

14. A process uses four machines called A, B, C, and D to produce their two products called X
and M. Product X sells for $10 and product M sells for $15. The table shows how long each
product is processed on each machine. Each machine is available for 8 hours per day and the
company has demand for 15 Xs and 20 Ms. what is the best product mix for the company?

Machine Product X Product M

A 15 min/unit 15 min/unit
B 25 min/unit 5 min/unit
C 20 min/unit 10 min/unit
D 10 min/unit 20 min/unit

A. 12 X and 18 M
B. 15 X and 20 M
C. 8 X and 20 M
D. 15X and 16.5 M

15. A diseconomy of scale is realized when:

A. The average cost per unit increases as the facility’s size increases.
B. The average cost per unit decreases as the facility’s size increases.
C. It becomes cheaper to produce fewer items per production period.
D. The average cost per unit increases as the facility’s size decreases.
PART THREE MULTIPLE CHOICE QUESTIONS
1. The silk like appearance can be obtained on the cotton fabric by use in

A. Sanforization
B. Starching
C. Resin treatment
D. Calendaring

2. Which one of the following best fit to calculate manufacturing cost?

A. Prime cost and factory expense

B. Fixed cost and variable cost
C. Factory cost and administrative expense
D. Direct labour cost and direct material cost

3. When evaluating alternative capacity decision qualitative concerns exclude

A. Competitive reaction
B. Cash flow
C. Uncertainty about demand
D. Technology change

4. In any responsible position in any company that you ever have it is given that there will be
more need to be done, and still not manage to complete it all. As an employee you most

A. Priorities
B. Professional growth
C. Organizational growth
D. Money making

5. The _____ section of the business plan should be written last

A. Introduction
B. Appendices
C. Executive summary
D. Financial statements

6. How to manage environmental impact of process

A. Establish rules and regulations

B. Implement effluent treatment plant
C. Treat discharge waste separately from each working station
D. Elimination of discharge waste from process
7. Which has been responsible for customer assessment?

A. Marketing department
B. Planning department
C. Production manager
D. Engineering department

8. The stage in which the biological process is used to purify water in a waste treatment plant

A. Secondary sewage treatment

B. Waste water reduction
C. Biochemical reduction
D. Primary sewage treatment

9. On a shuttles loom weaving a cloth a reed width of 225 cm and 265 picks insertion efficiency
of the loom is 90%

A. 586 m/min 225x265x90%/100= 536.625

B. 493 m/min
C. 537 m/min
D. 603 m/min

10. As the department manager the disperse dye are mostly used coloring ------ fabrics.

A. Wool
B. Silk
C. Polyester
D. Cotton

11. The most environmental effect posed by hazardous waste is

A. Distraction of habitat
B. Contamination of grand water
C. Point source of pollution
D. Violators the clean waste act

12. In the product life cycle what is the correct order of the main phase

A. Maturity ,growth, saturation, decline

B. Maturity , saturation, growth, decline
C. Growth ,maturity, saturation, decline
D. Growth , saturation ,maturity, decline

13. Which one of the following is the characteristic of project?

 A. Once the project are achieved, the projects are treated as completed
B. Not temporary
C. Ongoing activity
D. Repetitive action

14. The steps involving in the work measurement are

A. Select, measure, examine, record, compile and define

B. Select , examine, measure ,record compile and define
C. Select , record, examine, measure, compile and define
D. Select , record, compile, examine, measure and define

15. A business plan should be ----- to cover critical information to potential investors

A. Long and detailed

B. Complex and technical
C. Tedious and neatly written
D. Crisp and concise

16. The first step of capacity planning and control do not include

A. Choosing the most appropriate capacity plan

B. Identify the alternative capacity plan
C. Measuring aggregate demand and capacity
D. Studying the effect of queuing theory

17. The cost that consists of material, man power, machinery, utility, telephone and other
expense

A. Accounting cost
B. Direct cost
C. Indirect cost
D. Total cost

18. --------- are the properties of project

A. Operating house hold

B. Setting up spinning mill
C. Producing yarn
D. Treating patient

19. Which one of the following are the examples of the municipal and industrial discharge pipe

A. Non-point source of pollution

B. Irrigation
 C. Point source of pollution
D. Violators the clean water act

20. The _____ section of the business plan should be written last

A. Introduction
B. Appendices
C. Executive summary
D. Financial statements

Part two matching

S.n Column A Answer Column B
1 Performance I A Act clearly
2 Conformance C B Competence
3 Durability F C Meeting the standard
4 Maintenance utility E D Appearance
5 Aesthetics D E Average time between the failure
6 Source of credibility B F Probability of obstacles/old/
7 Manage project quality Q G Faith attached to supplier
8 Production control system O H Promptness/fast/
9 Environmental management P I Primary operating characteristics
of product
10 Delivery G J Manipulation /divert any way/
11 Monitoring,controlling,leading K K HRM
occupation
12 MPS R L Production planning
13 Filtering J M Engineering
14 Advertising and promotion N N Marketing
15 Utilize and use resource in time H O Quality control
P Effluent treatment plant
Q Production manager
R Master planning schedule
PART THREE
BB dyeing factory is found in 2008 Ethiopian calendar. The factory owned by the richest man
in the Ethiopia BB who has a great interest in the dyeing sector. The factory is showing high
competiveness level and profitability throughout the country. This competiveness and
profitability is believed to have come from the result of its highly educated management and
working forces in the country, there is a policy which allows aiding of this kind of dyeing
factories. Supports mentioned on the policy of the government include, high loan, low taxation,
ability to hire foreign expatriates, and other incentives are given to such kinds of factories.

Since the factory established, it has employee over 5000 peoples. But now days, the countries
labour cost is getting very high and it is becoming more and more difficult to find educated
personnel with low cost. This is a bad news since the factory wants low priced great experts.
Similar with the salary scaling up difficulties the higher need for dyed fabric is making the price
of raw material more and more unstable and costly. The other difficulty that the factory facing is
that there is no advance payment made by ordering parties which in turn makes the cash flow
difficult.

The company is planning to send its product, which is made out of polyester fabric.to
Benshangul Gumuz, a region which the company’s products not known. To prepare the final
dyed product the factory uses a continuous dyeing method on a twill weave fabric with 270
gm/m2 GSM and the shade percentage is 0.5%. The supplier of dye staff that the factory gets
from is AA color supplier. Finally the factory uses the process flow chart is shown below.

Singing and desizing scouring bleaching mercerizing drying on

stenter dying washing drying drying on stenter

Calendaring and sanforizing

Instruction: under this project the candidate is required to perform the following three tasks
based on the above information

Task 1: define the company’s product and services

Task 2: do SWOT analysis for the company’s dyeing department

Task 3: develop marketing communication strategy

Instruction : under this task the candidates are required to develop marketing communication
strategy for the dyeing department product which is going to be fit for areas that are not been yet
reach/cold prospect.

Task 3: prepare quality system log book for the continuous dyeing section in finishing
department
Task 4: evaluate the quality system based on log book check

Task 5: perform statistical analysis on defects and give your recommendations

Instruction: under the task the candidates are required to perform statistical analysis on defects
and give your recommendations from dyeing process using one attribute charts, p chart

Task 6: dye 10 gm of Un mercerized cotton fabric with vinyl sulphone with 2% shade

Note: for candidates use glabuler’s salt with a concentration of 50 gm/L ,soda ash with a
concentration of 20 gm/L and MLR(material liquor ratio) 1 to 15

Project 2: plan and schedule maintenance of finishing department

The project involves planning and managing maintenance of textile manufacturing machines
used for continuous dyeing method.

1. IND TPM5 01 0511 Develop Manufacturing Related Business Plan

2. IND TPM5 07 0511 Manage Maintenance Analysis
3. IND TPM5 10 0511 Develop and Implement Sales/ Marketing Plan

Instruction: under this project the candidates are required to perform the ff two tasks based on
the given machines

Task 1: identify and demonstrate main things included in maintenance plan used in dyeing
department

Task 2: troubleshoot and maintain inspection machines

Instruction: under this task the candidates are required to identify the problems and maintain the
inspection machine

Note: the assessors should select the types of machines to be maintained and remove the
transmitter to case problems on motion transmission the transmitter may be chain, gear or belt.

Project 3: develop marketing plan for dyed woven fabric and costing of the continuous
dyed fabric 1hr

These projects involves development of marketing plan for the finished product of finishing
department which is dyed using continuous method

1. IND TPM5 01 0511 Develop Manufacturing Related Business Plan

2. IND TPM5 02 0511 Develop and Manage Competitive Manufacturing Processes
3. IND TPM5 05 0511 Facilitate Continuous Improvement in Manufacturing
4. IND TPM5 10 0511 Develop and Implement Sales/ Marketing Plan
Given information

Project 1: manage woven fabric production

This project involves managing the continuous dyeing of woven fabric product quality and
producing a cotton fabric dyed with reactive dye vinyl sulphone.

1. IND TPM5 10 0511 Develop and Implement Sales/ Marketing Plan

2. IND TPM5 03 0511 Plan and Implement Production
3. IND TPM5 04 0511 Manage Production Processes
4. IND TPM5 09 0511 Manage Value Chain
5. IND TPM5 11 0511 Manage Quality Systems and Procedures
6. IND TPM5 16 0511 Manage Project Quality

Task 1: draft the process flow of coloration of woven fabric starting from preparatory to final
finishing in both printing and dyeing

Task 2: prepare production follow up card and manage line of continuous dyeing

1. IND TPM5 01 0511 Develop Manufacturing Related Business Plan

2. IND TPM5 02 0511 Develop and Manage Competitive Manufacturing Processes