Question 1

Which of the following is not an input to the aggregate operations planning process?

Accepted Answer

A)   Production rates (capacities) 
B)   Demand forecasts
C)   Initial inventory levels
D)   Master production schedules
E)   Limits on the use of overtimeF) C) and D)
G) B) and E)

Question 2

Disaggregating an aggregate production plan leads to a master production schedule.

Accepted Answer

A) True 
 B)False

Question 3

In practice,the more commonly used techniques for aggregate operations planning are:

Accepted Answer

A)   optimization techniques.
B)   trial-and-error techniques.
C)   marketing campaigns to influence demand.
D)   simulation models.
E)   some other technique not listed.F) All of the above
G) B) and C)

Question 4

One option in aggregate planning that shifts the pattern of demand from one period to another is:

Accepted Answer

A)   backorders.
B)   overtime.
C)   part-time workers.
D)   inventories.
E)   subcontracting.F) A) and D)
G) A) and E)

Question 5

What quantity is available for commitment to new customers prior to the receipt of the production quantity in week 3?

Accepted Answer

A)   21
B)   1
C)   20
D)   4
E)   Impossible to say without more informationF) B) and D)
G) C) and E)

Question 6

Which of the following are examples of intermediate operations planning decisions?
I.Deciding on the amount of inventory to hold
II.Deciding on which production equipment to purchase
III.Deciding on the location of a production facility

Accepted Answer

A)   I
B)   II
C)   III
D)   I and II
E)   I, II, and IIIF) C) and D)
G) B) and E)

Question 7

A major factor in choosing a strategy in aggregate operations planning is overall cost.

Accepted Answer

A) True 
 B)False

Question 8

An example of a demand option in aggregate operations planning is the use of backorders.

Accepted Answer

A) True 
 B)False

Question 9

Which of the following is an input of the master production schedule?
I.Beginning inventory
II.Demand forecasts for each period of the schedule
III.Orders already committed to customers

Accepted Answer

A)   I only
B)   II only
C)   III only
D)   II and III only
E)   I, II, and IIIF) A) and E)
G) None of the above

Question 10

Make-to-order companies use inventory whereas make-to-stock companies use backorders to shift demand.

Accepted Answer

A) True 
 B)False

Question 11

Backorders can be thought of as negative inventory.

Accepted Answer

A) True 
 B)False

Question 12

One option for altering the period when manufacturing capacity is available is:

Accepted Answer

A)   pricing.
B)   promotion.
C)   use of slack time for training.
D)   stockpiling inventories.
E)   All of the choices are options.F) All of the above
G) B) and E)

Question 13

An example of a capacity option in aggregate operations planning for services is inventory.

Accepted Answer

A) True 
 B)False

Question 14

Aggregate operations planners sometimes use optimization techniques such as linear programming for planning.

Accepted Answer

A) True 
 B)False

Question 15

An advantage of a "chase" strategy in aggregate operations planning is that it provides greater stability in operations based on a steady rate of output.

Accepted Answer

A) True 
 B)False

Question 16

Which of the following best describes aggregate operations planning?

Accepted Answer

A)   Linking long term capacity decisions with intermediate term production
B)   Integrating several planning techniques to develop an MPS
C)   An operations plan to support sales forecasting
D)   Using predicted demand to plan the general levels of employment, output, and inventories required
E)   An employee scheduling techniqueF) A) and B)
G) A) and C)

Question 17

One option for altering the capacity available in aggregate planning is:

Accepted Answer

A)   use of overtime or slack time.
B)   pricing.
C)   promotion.
D)   backorders.
E)   None of the choices.F) A) and B)
G) A) and C)

Question 18

Master production schedules are often divided into which of the following zones?
I.Emergency
II.Production
III.Trading
IV.Planning

Accepted Answer

A)   I and II
B)   I, II, and IV
C)   I, III, and IV
D)   II, III, and IV
E)   I, II, III, and IVF) A) and E)
G) None of the above

Question 19

The main disadvantage(s) of trial-and-error techniques used for aggregate operations planning is (are) :

Accepted Answer

A)   that they are expensive to do.
B)   that they may not result in the best plan.
C)   that they take a long time to do.
D)   that they require the use of a computer.
E)   All of the choices are disadvantages.F) A) and B)
G) B) and D)

Question 20

A manager has prepared a forecast of expected aggregate demand for the next six months.Develop an aggregate production plan to meet this demand given this additional information:
 A level production rate of 100 units per month will be used.Backorders are allowed,and they are charged at the rate of $8 per unit per month.Inventory holding costs are $1 per unit per month.Determine the cost of this plan if regular time cost is $20 per unit and beginning inventory is zero.

Accepted Answer

The answer of A manager has prepared a forecast of...

Exam 13: Aggregate Operations Planning

One option for altering the period when manufacturing capacity is available is:

Correct Answer
verified

Master production schedules are often divided into which of the following zones? I.Emergency II.Production III.Trading IV.Planning

Correct Answer
verified

What quantity is available for commitment to new customers prior to the receipt of the production quantity in week 3?

Correct Answer
verified

Which of the following best describes aggregate operations planning?

Correct Answer
verified

One option for altering the capacity available in aggregate planning is:

Correct Answer
verified

Which of the following are examples of intermediate operations planning decisions? I.Deciding on the amount of inventory to hold II.Deciding on which production equipment to purchase III.Deciding on the location of a production facility

Correct Answer
verified

Which of the following is not an input to the aggregate operations planning process?

Correct Answer
verified

The main disadvantage(s) of trial-and-error techniques used for aggregate operations planning is (are) :

Correct Answer
verified

An advantage of a "chase" strategy in aggregate operations planning is that it provides greater stability in operations based on a steady rate of output.

Correct Answer
verified

Correct Answer
verified

An example of a demand option in aggregate operations planning is the use of backorders.

Correct Answer
verified

Aggregate operations planners sometimes use optimization techniques such as linear programming for planning.

Correct Answer
verified

In practice,the more commonly used techniques for aggregate operations planning are:

Correct Answer
verified

Backorders can be thought of as negative inventory.

Correct Answer
verified

Make-to-order companies use inventory whereas make-to-stock companies use backorders to shift demand.

Correct Answer
verified

Which of the following is an input of the master production schedule? I.Beginning inventory II.Demand forecasts for each period of the schedule III.Orders already committed to customers

Correct Answer
verified

A major factor in choosing a strategy in aggregate operations planning is overall cost.

Correct Answer
verified

One option in aggregate planning that shifts the pattern of demand from one period to another is:

Correct Answer
verified

Disaggregating an aggregate production plan leads to a master production schedule.

Correct Answer
verified

An example of a capacity option in aggregate operations planning for services is inventory.

Correct Answer
verified

Exam 13: Aggregate Operations Planning

One option for altering the period when manufacturing capacity is available is:

Correct AnswerverifiedShow Answer

Master production schedules are often divided into which of the following zones? I.Emergency II.Production III.Trading IV.Planning

Correct AnswerverifiedShow Answer

What quantity is available for commitment to new customers prior to the receipt of the production quantity in week 3?

Correct AnswerverifiedShow Answer

Which of the following best describes aggregate operations planning?

Correct AnswerverifiedShow Answer

One option for altering the capacity available in aggregate planning is:

Correct AnswerverifiedShow Answer

Which of the following are examples of intermediate operations planning decisions? I.Deciding on the amount of inventory to hold II.Deciding on which production equipment to purchase III.Deciding on the location of a production facility

Correct AnswerverifiedShow Answer

Which of the following is not an input to the aggregate operations planning process?

Correct AnswerverifiedShow Answer

The main disadvantage(s) of trial-and-error techniques used for aggregate operations planning is (are) :

Correct AnswerverifiedShow Answer

An advantage of a "chase" strategy in aggregate operations planning is that it provides greater stability in operations based on a steady rate of output.

Correct AnswerverifiedShow Answer

Correct AnswerverifiedShow Answer

An example of a demand option in aggregate operations planning is the use of backorders.

Correct AnswerverifiedShow Answer

Aggregate operations planners sometimes use optimization techniques such as linear programming for planning.

Correct AnswerverifiedShow Answer

In practice,the more commonly used techniques for aggregate operations planning are:

Correct AnswerverifiedShow Answer

Backorders can be thought of as negative inventory.

Correct AnswerverifiedShow Answer

Make-to-order companies use inventory whereas make-to-stock companies use backorders to shift demand.

Correct AnswerverifiedShow Answer

Which of the following is an input of the master production schedule? I.Beginning inventory II.Demand forecasts for each period of the schedule III.Orders already committed to customers

Correct AnswerverifiedShow Answer

A major factor in choosing a strategy in aggregate operations planning is overall cost.

Correct AnswerverifiedShow Answer

One option in aggregate planning that shifts the pattern of demand from one period to another is:

Correct AnswerverifiedShow Answer

Disaggregating an aggregate production plan leads to a master production schedule.

Correct AnswerverifiedShow Answer

An example of a capacity option in aggregate operations planning for services is inventory.

Correct AnswerverifiedShow Answer

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