Production and Operations Management

QUIZ NO. 2
MCQ’s
Max Marks: 20
Time Allowed: 20 Mins
Instructor: Attique ur Rehman
1. …………..forecasts are developed to determine production levels and job assignments.
a. Short range c. Long range
b. Medium range d. Short and medium range
e.
2. Quantitative tools are majorly used in …………….. forecasts.
a. Short range c. Long range
b. Medium range d. Short and medium range
3. All of the following are types of forecasts EXCEPT:
a. Economic forecasts c. Demand forecasts
b. Technological forecasts d. Short range forecasts
4. All of the following are steps in forecasting EXCEPT:
a. Determining the use of forecast d. Checking impact of forecasting
b. Determining the time horizon on actual result
c. Selecting forecasting model
5. ………….. forecasting approach is used when there is less data available, situation is vague and it
requires experience.
a. Quantitative c. Both a and b
b. Qualitative d. None of the above
6. All of the following are participants in Delphi method EXCEPT:
a. Decision makers c. Market surveyors
b. Respondents d. Staff
7. ………………. Technique combines managerial experience with quantitative tools.
a. Jury of executive opinion c. Delphi method
b. Sales force composite d. Cu
e. stomer survey
8. All of the following are time series based forecasting techniques EXCEPT:
a. Naïve c. Linear regression
b. Moving averages d. Trend projection
9. If sales of January, February and March are 32, 34 and 45 respectively, what will be sales of April
based on Naïve approach.
a. 33 c. 34
b. 32 d. 45
10. All of the following are components of time series EXCEPT:
a. Trend c. Seasonal
b. Cyclical d. Averaging
11. …………… are residuals and always exists in real time data.
 a. Trend c. Cycle
b. Random variation d. Season
12. If forecast for the month of June was 42 units and actual sales were 40. What would be the
forecasting for July based on exponential smoothing with a smoothing constant value of 0.2?
a. 41.2 c. 42
b. 41.4 d. 41.6
13. The potential problem with moving averages is (are) ………………
a. Data becomes less sensitive c. Data becomes smooth
b. Trends cannot be forecasted d. Both a and b
14. In equaton Y = a + bx, “b” is……….
a. Slope of line c. X-intercept
b. Y-intercept d. Time
15. Use linear regression to solve
Appearance (X) Demand (Y)
3 3
4 6
7 7
6 5
8 10
5 7
9 ?

a. Y=0.676+1.03x c. Y=-1.43+0.5x
b. Y=1.2+0.3x d. Y=2.3+6.2x
16. Southwest airlines compete on charging minimum amount for their domestic traveling. They are
working on:
a. Differentiation c. Response
b. Cost Leadership d. None of the above
17. Hospitals, as they offer customized services to a number of patients they serve, they work on
the following phenomenon:
a. Job Shop c. Continuous production
b. Assembly line d. None of the above
18. All of the following factors affect mission of a firm EXCEPT:
a. Customer c. Environment
b. Supplier d. Public image
19. All of the following are tangible reasons for the firms to globalize EXCEPT:
a. Reduced costs c. Learn new and improved
b. Understanding markets operations
d. Attract and retain global talent
20. Mission tells about the reason of existence and strategy tells about how to go there.
a. True
b. false