Midterm 2013 Solution
Student Name:
___________________________
Student Number: ___________________________ Class Time: MW 6-9 pm Instructor: M. Zargoush
OPERATIONS MANAGEMENT - MGCR 472 MIDTERM EXAMINATION
Monday, May 27, 2013 TIME: 06:00pm – 08:00pm
INSTRUCTIONS: 1. 2. 2. Write your Name and Student Number on the exam paper and the exam booklet. There is sufficient space for your solutions. Please write down your answers on the exam sheet. This is a closed book exam and counts for 30% of your final grade. Dictionaries and calculators that do not store text are permitted. Total pages: 30 (including this cover page). MARKER ONLY 1. 2. 3. 4. 5. 6. 7. ________ ________ ________ ________ ________ ________ ________
3. 4. 5. 6.
TOTAL:
Marks allotted to each question appear next to question numbers. Answer all questions on the exam paper. Show logic since part marks will be given for method and partial results. If you feel that a question is ambiguous, briefly explain your interpretation and state any assumptions you make. Interpretation on the student’s part is an important component of the testing process. A formula sheet and real options tables are provided at the end of the exam. GOOD LUCK!
7. 8.
1
Question 1 (20 points) a) Please circle True (T) or False (F) in the left margin (1 point each). The order qualifiers for a company are those characteristics that cause consumers to actually purchase the product or service.
1)
T
F
2)
T
F
Option value of a project increases as its volatility increases.
3) 4)
T T
F F
The critical path in a network of activities will be the path with the most number of activities. Forecasts are generally more accurate for individual products rather than for product families. In a simple exponential smoothing model the manager would prefer a large value for alpha if he/she wants to respond well to a system characterized by a low level of random behavior but often subjected to a real change in the
___________________________
Student Number: ___________________________ Class Time: MW 6-9 pm Instructor: M. Zargoush
OPERATIONS MANAGEMENT - MGCR 472 MIDTERM EXAMINATION
Monday, May 27, 2013 TIME: 06:00pm – 08:00pm
INSTRUCTIONS: 1. 2. 2. Write your Name and Student Number on the exam paper and the exam booklet. There is sufficient space for your solutions. Please write down your answers on the exam sheet. This is a closed book exam and counts for 30% of your final grade. Dictionaries and calculators that do not store text are permitted. Total pages: 30 (including this cover page). MARKER ONLY 1. 2. 3. 4. 5. 6. 7. ________ ________ ________ ________ ________ ________ ________
3. 4. 5. 6.
TOTAL:
Marks allotted to each question appear next to question numbers. Answer all questions on the exam paper. Show logic since part marks will be given for method and partial results. If you feel that a question is ambiguous, briefly explain your interpretation and state any assumptions you make. Interpretation on the student’s part is an important component of the testing process. A formula sheet and real options tables are provided at the end of the exam. GOOD LUCK!
7. 8.
1
Question 1 (20 points) a) Please circle True (T) or False (F) in the left margin (1 point each). The order qualifiers for a company are those characteristics that cause consumers to actually purchase the product or service.
1)
T
F
2)
T
F
Option value of a project increases as its volatility increases.
3) 4)
T T
F F
The critical path in a network of activities will be the path with the most number of activities. Forecasts are generally more accurate for individual products rather than for product families. In a simple exponential smoothing model the manager would prefer a large value for alpha if he/she wants to respond well to a system characterized by a low level of random behavior but often subjected to a real change in the