OPERATION MANAGEMENT (Economic
Finance) EXAM 3 REVISION STUDY QUIZBANK
CORRECTLY ANSWERED AND 100% VERIFIED.
The aggregate operations plan translates annual and quarterly business plans
into broad labor and output plans for the intermediate term of 3 to 18 months.
TRUE
Some degree of variability is present in almost all processes.
True
Mistakes stemming from workers' inadequate training represent an assignable
cause of variation.
True
Averages of small samples, not individual measurements, are generally used in
statistical process
control.
True
The Central Limit Theorem states that when the sample size increases, the
distribution of the
sample means will approach the normal distribution.
True
In statistical process control, the range often substitutes for the standard
deviation.
True
A process range chart illustrates the amount of variation within the samples.
True
,Mean charts and range charts complement one another, one detecting shifts in
process average, the
other detecting shifts in process dispersion.
True
The higher the process capability ratio, the greater the likelihood that process will
be within design
specifications.
True
The Cpk index measures the difference between desired and actual dimensions
of goods or services
produced.
True
Acceptance sampling accepts or rejects an entire lot based on the information
contained in the
sample.
True
In acceptance sampling, a manager can reach the wrong conclusion if the sample
is not
representative of the population it was drawn from.
True
The steeper an OC curve, the better it discriminates between good and bad lots.
True
If a sample of items is taken and the mean of the sample is outside the control
limits the process is:
a. out of control and the cause should be established
b. in control, but not capable of producing within the established control limits
,c. within the established control limits with only natural causes of variation
d. monitored closely to see if the next sample mean will also fall outside the
control limits
e. producing high quality products
A. out of control and the cause should be established.
The causes of variation in statistical process control are:
a. cycles, trends, seasonality, and random variations
b. producer's causes and consumer's causes
c. mean and range
d. natural causes and assignable causes
e. Type I and Type II
D. natural & assignable causes
Natural variations:
a. affect almost every production process
b. are the many sources of variation that occur when a process is under control
c. when grouped, form a pattern, or distribution
d. are tolerated, within limits, when a process is under control
e. All of the above are true.
, E. ALL THE ABOVE
Natural variations:
a. are variations that are to be identified and eliminated
b. are variations that can be traced to a specific cause
c. are the same as assignable variations
d. lead to occasional false findings that processes are out of control
e. play no role in statistical process control
D. Natural variations lead to occasional false finding that processes are out of
control.
Assignable variation:
a. is a sign that a process is under control
b. is to be identified and eliminated
c. is the same as random variation
d. is variation that cannot be traced to a specific cause
e. leads to a steep OC curve
D. Assignable Variation is variation that cannot be traced to a specific cause.
Assignable causes:
a. are not as important as natural causes
Finance) EXAM 3 REVISION STUDY QUIZBANK
CORRECTLY ANSWERED AND 100% VERIFIED.
The aggregate operations plan translates annual and quarterly business plans
into broad labor and output plans for the intermediate term of 3 to 18 months.
TRUE
Some degree of variability is present in almost all processes.
True
Mistakes stemming from workers' inadequate training represent an assignable
cause of variation.
True
Averages of small samples, not individual measurements, are generally used in
statistical process
control.
True
The Central Limit Theorem states that when the sample size increases, the
distribution of the
sample means will approach the normal distribution.
True
In statistical process control, the range often substitutes for the standard
deviation.
True
A process range chart illustrates the amount of variation within the samples.
True
,Mean charts and range charts complement one another, one detecting shifts in
process average, the
other detecting shifts in process dispersion.
True
The higher the process capability ratio, the greater the likelihood that process will
be within design
specifications.
True
The Cpk index measures the difference between desired and actual dimensions
of goods or services
produced.
True
Acceptance sampling accepts or rejects an entire lot based on the information
contained in the
sample.
True
In acceptance sampling, a manager can reach the wrong conclusion if the sample
is not
representative of the population it was drawn from.
True
The steeper an OC curve, the better it discriminates between good and bad lots.
True
If a sample of items is taken and the mean of the sample is outside the control
limits the process is:
a. out of control and the cause should be established
b. in control, but not capable of producing within the established control limits
,c. within the established control limits with only natural causes of variation
d. monitored closely to see if the next sample mean will also fall outside the
control limits
e. producing high quality products
A. out of control and the cause should be established.
The causes of variation in statistical process control are:
a. cycles, trends, seasonality, and random variations
b. producer's causes and consumer's causes
c. mean and range
d. natural causes and assignable causes
e. Type I and Type II
D. natural & assignable causes
Natural variations:
a. affect almost every production process
b. are the many sources of variation that occur when a process is under control
c. when grouped, form a pattern, or distribution
d. are tolerated, within limits, when a process is under control
e. All of the above are true.
, E. ALL THE ABOVE
Natural variations:
a. are variations that are to be identified and eliminated
b. are variations that can be traced to a specific cause
c. are the same as assignable variations
d. lead to occasional false findings that processes are out of control
e. play no role in statistical process control
D. Natural variations lead to occasional false finding that processes are out of
control.
Assignable variation:
a. is a sign that a process is under control
b. is to be identified and eliminated
c. is the same as random variation
d. is variation that cannot be traced to a specific cause
e. leads to a steep OC curve
D. Assignable Variation is variation that cannot be traced to a specific cause.
Assignable causes:
a. are not as important as natural causes
