MAT 540Week 3 Quiz 1:

1. The term decision analysis refers to testing how a problem solution reacts to changes in one or more of the model parameters. (Points : 2) True False

2. Fixed costs depend on the number of items produced. (Points : 2) True False

3. Total cost equal the fixed cost plus the variable cost per unit divided by volume. (Points : 2) True False   

4. Profit is the difference between total revenue and total cost. (Points : 2) True False

5. An experiment is an activity that results in one of several possible outcomes. (Points : 2) True False 

6. Variable costs are independent of volume and remain constant. (Points : 2) True False

7. The events in an experiment are mutually exclusive if only one can occur at a time. (Points : 2) True False

8. The probabilities of mutually exclusive events sum to zero. (Points : 2) True False

9. A model is a functional relationship and include: (Points : 2)

variables

parameters

equations

all of the above

10. Which of the following is an equation or an inequality that expresses a resource restriction in a mathematical model? (Points : 2)

decision variable.

data

an objective function.

 a constraint.

a parameter.

11. In a given experiment, the probabilities of all mutually exclusive events sum to one. (Points : 2) True False

12. Which of the following is not an alternative name for management science? (Points : 2) decision sciences

 quantitative methods

 quantitative analysis

operations research

decision support systems

13. The steps of the scientific method are: (Points : 2)

problem definition, model construction, observation, model solution, implementation. observation, problem definition, model construction, model solution, implementation.

model construction, problem definition, observation, model solution, implementation. observation, implementation, problem definition, model construction, model solution.

14. A frequency distribution is an organization of numerical data about the events in an experiment. (Points : 2) True False

15. A set of events is collectively exhaustive when it includes _______ the events that can occur in an experiment. (Points : 2)

 some of one of all any of

16. Objective probabilities that can be stated prior to the occurrence of an event are (Points : 2) subjective a priori

classical or a priori

none of the above

17. Which of the following is incorrect with respect to the use of models in decision making? (Points : 2)

they improve understanding of the problem

they promote subjectivity in decision making

they are generally easy to use

they provide a systematic approach to problem solving

18. In a given experiment the probabilities of mutually exclusive events sum to (Points : 2)

0

 0.5

1      

none of the above

19. A ___________ probability is the probability that two or more events that are not mutually exclusive can occur simultaneously. (Points : 2)

joint

marginal

subjective

binomial

20. ____________ techniques include uncertainty and assume that there can be more than one model solution. (Points : 2)

Deterministic

Probabilistic

Distribution

Probability