MGT 103 - CHAPTER 15 EXAM QUESTIONS WITH VERIFIED SOLUTIONS LATEST UPDATE 2026
A company buys electronic components, assembles them into PCs, and then ships them to customers.
In this case the electronic components are _____ for the company.
A) Outputs
B) products
C) processes
D) inputs
E) services - Answers D
The total set of managerial activities an organization uses to transform resource inputs into products
and services is called _____.
a. technology management
b. strategic management
c. project management
d. operations management
e. self-management - Answers D
If the product is a physical good, operations create value and provide _____ utility by combining many
dissimilar inputs to make something that is more valuable than the actual cost of the inputs used to
create it.
a. time
b. form
c. place
d. service
e. statistical - Answers B
Operations management was once called _____.
a. service management
b. process management
c. waste management
d. production management
e. output management - Answers D
Fast food restaurants that assemble breads, spreads, and fillings as per the customers' preference
belong to the _____ industry.
a. service
b. manufacturing
c. automotive
d. importing
e. exporting - Answers B
An organization that transforms resources into an intangible output in order to create time or place
utility for its customers is known as _____ company.
a. an outsourcing
b. a service
c. a manufacturing
d. the International Organization for Standardization 9000
e. total quality management - Answers B
During the 1970s in the United States, manufacturing entered a long period of decline. Which of the
following is the primary reason for this decline?
a. Modernization of plants
b. Rise in unemployment
c. Growth in the service sector
d. Foreign competition
e. Recession - Answers D
A convenience store at the gas station provides utility for customers because it makes it easy for them
to purchase a few essentials when they stop for gasoline. The convenience store belongs to the _____
industry.
a. service
b. manufacturing
c. automotive
, d. importing
e. electronics - Answers A
During the decline of the manufacturing sector, a tremendous growth in the _____ sector kept the
U.S. economy from declining at the same rate.
a. coal
b. service
c. agriculture
d. steel
electronics - Answers B
A(n) _____ organization is one that transforms resources into an intangible output and creates time
and place utility for its customers.
a. manufacturing
b. production
c. service
d. coal
e. agricultural - Answers C
In the United States, which of the following steps did the manufacturing companies take to recover
from the long period of decline?
a. They increased their workforces dramatically.
b. They opened more plants.
c. They changed their market.
d. They modernized their plants.
e. They changed their sector. - Answers D
_____ is a form of business that combines and transforms resources into tangible outcomes that are
then sold to others.
a. Service
b. Manufacturing
c. Outsourcing
d. Licensing
e. Exporting - Answers B
A highest-possible-quality strategy will stress on _____.
a. the lowest possible cost regardless of quality
b. quality regardless of cost
c. low quality at low cost
d. large quantities at low cost
e. productivity regardless of quality - Answers B
Which of the following questions is addressed by product-service mix decisions?
a. How the services need to be provided?
b. How many different products need to be offered?
c. What quantity of a product needs to be produced?
d. Where the products need to be distributed?
e. How products need to be produced? - Answers B
Upsilon Inc. manufactures leather handbags. It later adds leather accessories, shoes, and clothing to
its production line. With this step, Upsilon is taking a _____ decision.
a. layout
b. promotion-distribution
c. capacity
d. product-service mix
e. facility - Answers D
Globe-Mart, a large chain of department stores, strategically places distribution centers throughout
the United States. In this context, Globe-Mart has made a _____ decision.
a. product layout
b. facilities location
c. capacity
d. product-service mix
e. process layout - Answers B
A company buys electronic components, assembles them into PCs, and then ships them to customers.
In this case the electronic components are _____ for the company.
A) Outputs
B) products
C) processes
D) inputs
E) services - Answers D
The total set of managerial activities an organization uses to transform resource inputs into products
and services is called _____.
a. technology management
b. strategic management
c. project management
d. operations management
e. self-management - Answers D
If the product is a physical good, operations create value and provide _____ utility by combining many
dissimilar inputs to make something that is more valuable than the actual cost of the inputs used to
create it.
a. time
b. form
c. place
d. service
e. statistical - Answers B
Operations management was once called _____.
a. service management
b. process management
c. waste management
d. production management
e. output management - Answers D
Fast food restaurants that assemble breads, spreads, and fillings as per the customers' preference
belong to the _____ industry.
a. service
b. manufacturing
c. automotive
d. importing
e. exporting - Answers B
An organization that transforms resources into an intangible output in order to create time or place
utility for its customers is known as _____ company.
a. an outsourcing
b. a service
c. a manufacturing
d. the International Organization for Standardization 9000
e. total quality management - Answers B
During the 1970s in the United States, manufacturing entered a long period of decline. Which of the
following is the primary reason for this decline?
a. Modernization of plants
b. Rise in unemployment
c. Growth in the service sector
d. Foreign competition
e. Recession - Answers D
A convenience store at the gas station provides utility for customers because it makes it easy for them
to purchase a few essentials when they stop for gasoline. The convenience store belongs to the _____
industry.
a. service
b. manufacturing
c. automotive
, d. importing
e. electronics - Answers A
During the decline of the manufacturing sector, a tremendous growth in the _____ sector kept the
U.S. economy from declining at the same rate.
a. coal
b. service
c. agriculture
d. steel
electronics - Answers B
A(n) _____ organization is one that transforms resources into an intangible output and creates time
and place utility for its customers.
a. manufacturing
b. production
c. service
d. coal
e. agricultural - Answers C
In the United States, which of the following steps did the manufacturing companies take to recover
from the long period of decline?
a. They increased their workforces dramatically.
b. They opened more plants.
c. They changed their market.
d. They modernized their plants.
e. They changed their sector. - Answers D
_____ is a form of business that combines and transforms resources into tangible outcomes that are
then sold to others.
a. Service
b. Manufacturing
c. Outsourcing
d. Licensing
e. Exporting - Answers B
A highest-possible-quality strategy will stress on _____.
a. the lowest possible cost regardless of quality
b. quality regardless of cost
c. low quality at low cost
d. large quantities at low cost
e. productivity regardless of quality - Answers B
Which of the following questions is addressed by product-service mix decisions?
a. How the services need to be provided?
b. How many different products need to be offered?
c. What quantity of a product needs to be produced?
d. Where the products need to be distributed?
e. How products need to be produced? - Answers B
Upsilon Inc. manufactures leather handbags. It later adds leather accessories, shoes, and clothing to
its production line. With this step, Upsilon is taking a _____ decision.
a. layout
b. promotion-distribution
c. capacity
d. product-service mix
e. facility - Answers D
Globe-Mart, a large chain of department stores, strategically places distribution centers throughout
the United States. In this context, Globe-Mart has made a _____ decision.
a. product layout
b. facilities location
c. capacity
d. product-service mix
e. process layout - Answers B
