Question
GSCM209 The Supply Chain Management Decision Support Tools
and Applications
Week 5 Quiz
Question 1 (TCO 6) Which of the following statements
regarding fixed costs is TRUE?
Fixed costs rise by a constant amount for every added unit of
volume.
Although fixed costs are ordinarily constant with respect to
volume, they can step upward if volume increases result in
additional fixed costs.
Fixed costs are those costs associated with direct labor and
materials.
Fixed costs equal variable costs at the break-even point.
Fixed cost is the difference between selling price and
variable cost.
Question 2 (TCO 7) A means of determining the discounted
value of a series of future cash receipts is
TA.
TC.
NPV.
TR.
None of the above
Question 3 TCO 8) A queuing model that follows the M/M/1
assumptions has λ = 10 and μ = 12. What is the average number of
units in the system?
Question 4 (TCO 9) A linear programming problem contains a
restriction that reads “the quantity of X must be at least twice as
large as the quantity of Y.” Formulate this as a linear programming
constraint.
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