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CS/JAN2013/QMT360/365/425/429/TPT420

UNIVERSITI TEKNOLOGI MARA

FINAL EXAMINATION

.

COURSE CODE

OPERATIONS RESEARCH / QUANTITATIVE

METHODS IN MANAGEMENT / QUANTITATIVE

BUSINESS ANALYSIS / QUANTITATIVE

TECHNIQUES/ STATISTICS IN TPORT.N

QMT360/365/425/429/TPT420

EXAMINATION

JANUARY 2013

TIME

3 HOURS

COURSE

INSTRUCTIONS TO CANDIDATES

PART A (5 Questions)

PART B (5 Questions)

1.

This question paper consists of two (2) parts

2.

Answer ALL questions in the Answer Booklet. Start each answer on a new page.

3.

Do not bring any material into the examination room unless permission is given by the invigilator.

4.

Please check to make sure that this examination pack consists of: )

)

)

iv)

v)

the Question Paper

a one - page Appendix 1 (Formula List)

a one - page Appendix 2 (Standard Normal Table)

an Answer Booklet - provided by the Faculty

a graph paper - provided by the Faculty

DO NOT TURN THIS PAGE UNTIL YOU ARE TOLD TO DO SO

This examination paper consists of 7 printed pages

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CS/JAN 2013/QMT360/365/425/429/TPT420

PART A

QUESTION 1

Alpha Company specializes in manufacturing computer components. Currently, the top management of the company is considering expanding its production lines in order to increase profit. The profit table is shown in the following table: Good Market

(RM)

Fair Market

(RM)

Poor Market

(RM)

Add one production line

150,000

110,000

-18,000

Add two production lines

270,000

190,000

-25,000

No Change

120,000

90,000

10,000

Number of Production Lines

Increased

Determine the best decision using the following criteria:

a) maximax

(2 marks)

b) criterion of realism (Use a = 0.7)

(3 marks)

QUESTION 2

Solve the following linear programming problem using corner point method. Minimize Cost= 7.8X1 + 11X2

Subject to

5XT + 3X2 < 2 1

4Xi + 6X2 > 2 4

6XT > 12

X1tX2>0

(5 marks)

QUESTION 3

A service centre orders a particular compartment from a supplier. The ordering cost per order is RM20 and the holding cost per unit per year is RM0.50. The lead time between placing and receiving an order is 7 days. The service center's usage of the compartment is estimated at 4500 units annually. Assume that the center operates for 300 days a year. Determine

a) the optimal order quantity

(2 marks)

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CS/JAN 2013/QMT360/365/425/429/TPT420

b) the reorder point.

(1 mark)

c) the total inventory cost.

(2 marks)

QUESTION 4

The manager of Damai Hotel is considering of renovating its ballroom. The manager is planning to use PERT with three time estimates. The expected completion time of the project is 18 weeks and he claims that there is a 90% chance of completing the project before the deadline fixed by the hotel. The project variance is 5.77. What should the deadline be? (5 marks)

QUESTION 5

The regional manager of SND Bank has four different branch officers to be assigned to meet customers located in different towns in Johor. Find the best assignment of branches to customers' locations to minimize the total distance traveled. Branch

Officer

Customers' Locations (km)

Rengit

Chaah

Kulai

Muar

Segamat

32

30

44

22

Batu Pahat

28

18

32

22

Mersing

35

24

40

38

Johor Bahru

30

16

20

44

(5 marks)

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CS/JAN 2013/QMT360/365/425/429/TPT420

P ARTB

QUESTION 1

TOT, a major mobile phone producer is considering of introducing a new inexpensive model of mobile telephone targeted for college students. The telephone has a variety of features including scientific and business calculators which are powerful enough to calculate up to 10 decimal places.

Launching a new product can be very...