Test Bank For Practical Management Science, 6th Edition By Winston, Albright

True / False TEST BANK FOR PRACTICAL MANAGEMENT SCIENCE, 6TH EDITION BY L. WINSTON. 1. Models that suggest a desirable course of action are called descriptive models a. True b. False ANSWER: False POINTS: 1 DIFFICULTY: Easy Easy |Bloom's Knowledge Easy |Bloom's Comprehension QUESTION TYPE: True / False HAS VARIABLES: False TOPICS: 1.1 Introduction OTHER: BUSPROG-Communication DISC- Mathematical Modeling DATE CREATED: 5/17/2017 3:39 PM DATE MODIFIED: 10/21/2017 8:35 PM 2. In modeling situations where it is not possible to write an equation for an output in terms of the inputs, there may still be a mathematical procedure for calculating outputs from inputs. a. True b. False ANSWER: True POINTS: 1 DIFFICULTY: Easy Easy |Bloom's Knowledge Easy |Bloom's Comprehension QUESTION TYPE: True / False HAS VARIABLES: False TOPICS: 1.1 Introduction OTHER: BUSPROG-Communication DISC- Mathematical Modeling DATE CREATED: 5/17/2017 3:39 PM DATE MODIFIED: 10/21/2017 8:35 PM 3. In a descriptive model, the manager first wants to build a model that reflects the current situation. Page 1 of 216 TEST BANK FOR PRACTICAL MANAGEMENT SCIENCE, 6TH EDITION BY L. WINSTON. a. True b. False ANSWER: True POINTS: 1 DIFFICULTY: Moderate Moderate |Bloom's Knowledge Moderate |Bloom's Comprehension Page 2 of 216 TEST BANK FOR PRACTICAL MANAGEMENT SCIENCE, 6TH EDITION BY L. WINSTON. QUESTION TYPE: True / False HAS VARIABLES: False TOPICS: 1.4 A Seven Step Modeling Process - Step 4 Model Verification OTHER: BUSPROG-Analytic DISC- Mathematical Modeling DATE CREATED: 5/17/2017 3:39 PM DATE MODIFIED: 10/21/2017 8:35 PM 4. One of the advantages of spreadsheet models is that they allow managers to ask what-if questions. a. True b. False ANSWER: True POINTS: 1 DIFFICULTY: Easy Easy |Bloom's Knowledge Easy |Bloom's Comprehension QUESTION TYPE: True / False HAS VARIABLES: False TOPICS: 1.2 A Capital Budgeting Example - An Optimization Model OTHER: BUSPROG-Communication DISC- Mathematical Modeling DATE CREATED: 5/17/2017 3:39 PM DATE MODIFIED: 10/21/2017 8:35 PM 5. One of the arguments that management science practitioners have used to criticize the emphasis on specific models is that they do not provide the correct answer. a. True b. False ANSWER: False POINTS: 1 DIFFICULTY: Easy Easy |Bloom's Knowledge Easy |Bloom's Comprehension QUESTION TYPE: True / False HAS VARIABLES: False TOPICS: 1.3 Modeling Versus Models OTHER: BUSPROG-Communication DISC- Mathematical Modeling DATE CREATED: 5/17/2017 3:39 PM DATE MODIFIED: 10/21/2017 8:35 PM 6. The overall modeling process typically done in practice always requires seven steps: define the problem, collect and summarize data, develop a model, verify the model, select one or more suitable Page 3 of 216 TEST BANK FOR PRACTICAL MANAGEMENT SCIENCE, 6TH EDITION BY L. WINSTON. decisions, present the results to the organization, and finally implement the model and update it through time. a. True b. False ANSWER: False POINTS: 1 DIFFICULTY: Easy Easy |Bloom's Knowledge Easy |Bloom's Comprehension QUESTION TYPE: True / False HAS VARIABLES: False TOPICS: 1.1 Introduction OTHER: BUSPROG-Communication DISC- Mathematical Modeling DATE CREATED: 5/17/2017 3:39 PM DATE MODIFIED: 10/21/2017 8:35 PM 7. Modeling is a process where the essence of a theoretical problem is extracted into a model, spreadsheet or otherwise. a. True b. False ANSWER: False POINTS: 1 DIFFICULTY: Easy Easy |Bloom's Knowledge Easy |Bloom's Comprehension QUESTION TYPE: True / False HAS VARIABLES: False TOPICS: 1.4 A Seven Step Modeling Process - Step 1 Problem Definition OTHER: BUSPROG-Communication DISC- Mathematical Modeling DATE CREATED: 5/17/2017 3:39 PM DATE MODIFIED: 10/21/2017 8:35 PM 8. In some applications, an analyst might present several alternative solutions from a model, and let the organization choose the best one. a. True b. False ANSWER: True POINTS: 1 DIFFICULTY: Moderate Moderate |Bloom's Knowledge Moderate |Bloom's Comprehension QUESTION TYPE: True / False Page 4 of 216 TEST BANK FOR PRACTICAL MANAGEMENT SCIENCE, 6TH EDITION BY L. WINSTON. HAS VARIABLES: False TOPICS: 1.4 A Seven Step Modeling Process - Step 3 Model Development OTHER: BUSPROG-Communication DISC- Mathematical Modeling DATE CREATED: 5/17/2017 3:39 PM DATE MODIFIED: 10/21/2017 8:35 PM 9. A management science model is typically initiated when an organization believes it has a problem. a. True b. False ANSWER: True POINTS: 1 DIFFICULTY: Moderate Moderate |Bloom's Knowledge Moderate |Bloom's Comprehension QUESTION TYPE: True / False HAS VARIABLES: False TOPICS: 1.4 A Seven Step Modeling Process - Step 4 Model Verification OTHER: BUSPROG-Analytic DISC- Mathematical Modeling DATE CREATED: 5/17/2017 3:39 PM DATE MODIFIED: 10/21/2017 8:35 PM 10. Data are often not in the required form, in which case it is the analysts' job to gather the right data and put it into an appropriate format. a. True b. False ANSWER: True POINTS: 1 DIFFICULTY: Moderate Moderate |Bloom's Knowledge Moderate |Bloom's Comprehension QUESTION TYPE: True / False HAS VARIABLES: False TOPICS: 1.4 A Seven Step Modeling Process - Step 3 Model Development OTHER: BUSPROG-Analytic DISC- Mathematical Modeling DATE CREATED: 5/17/2017 3:39 PM DATE MODIFIED: 10/21/2017 8:35 PM 11. A good model should achieve the right balance between being too simple and too complex. a. True b. False ANSWER: True Page 5 of 216 TEST BANK FOR PRACTICAL MANAGEMENT SCIENCE, 6TH EDITION BY L. WINSTON. POINTS: 1 DIFFICULTY: Moderate Moderate |Bloom's Knowledge Moderate |Bloom's Comprehension QUESTION TYPE: True / False HAS VARIABLES: False TOPICS: 1.4 A Seven Step Modeling Process - Step 4 Model Verification OTHER: BUSPROG-Analytic DISC- Mathematical Modeling DATE CREATED: 5/17/2017 3:39 PM DATE MODIFIED: 10/21/2017 8:35 PM 12. Verification is typically the most difficult phase of the modeling process, from a mathematical perspective. a. True b. False ANSWER: False POINTS: 1 DIFFICULTY: Easy Easy |Bloom's Knowledge Easy |Bloom's Comprehension QUESTION TYPE: True / False HAS VARIABLES: False TOPICS: 1.4 A Seven Step Modeling Process - Step 5 Optimization and Decision Making OTHER: BUSPROG-Communication DISC- Mathematical Modeling DATE CREATED: 5/17/2017 3:39 PM DATE MODIFIED: 10/21/2017 8:35 PM 13. As models become larger and more complex, heuristic solutions are often adequate, even though they are not necessarily optimal solutions. a. True b. False ANSWER: True POINTS: 1 DIFFICULTY: Moderate Moderate |Bloom's Knowledge Moderate |Bloom's Comprehension QUESTION TYPE: True / False HAS VARIABLES: False TOPICS: 1.4 A Seven Step Modeling Process - Step 7 Model Implementation OTHER: BUSPROG-Communication DISC- Mathematical Modeling DATE CREATED: 5/17/2017 3:39 PM Page 6 of 216 TEST BANK FOR PRACTICAL MANAGEMENT SCIENCE, 6TH EDITION BY L. WINSTON. DATE MODIFIED: 10/21/2017 8:35 PM 14. The best strategy for implementation of a model is to involve key people in the organization in the project when the model is ready for testing and verification. a. True b. False ANSWER: False POINTS: 1 DIFFICULTY: Moderate Moderate |Bloom's Knowledge Moderate |Bloom's Comprehension QUESTION TYPE: True / False HAS VARIABLES: False TOPICS: 1.4 A Seven Step Modeling Process - Step 7 Model Implementation OTHER: BUSPROG-Communication DISC- Mathematical Modeling DATE CREATED: 5/17/2017 3:39 PM DATE MODIFIED: 10/21/2017 8:35 PM 15. A completed model typically marks the end of the modeling process. a. True b. False ANSWER: False POINTS: 1 DIFFICULTY: Easy Easy |Bloom's Knowledge Easy |Bloom's Comprehension QUESTION TYPE: True / False HAS VARIABLES: False TOPICS: 1.6 Why Study Management Science? OTHER: BUSPROG-Communication DISC- Mathematical Modeling DATE CREATED: 5/17/2017 3:39 PM DATE MODIFIED: 10/21/2017 8:35 PM Multiple Choice 16. Which of the following is a type of model that is key to virtually every management science application? a. Heuristic model b. Queuing model c. Mathematical model d. Regression model Page 7 of 216 TEST BANK FOR PRACTICAL MANAGEMENT SCIENCE, 6TH EDITION BY L. WINSTON. ANSWER: c POINTS: 1 DIFFICULTY: Easy Easy |Bloom's Knowledge Easy |Bloom's Comprehension QUESTION TYPE: Multiple Choice HAS VARIABLES: False TOPICS: 1.2 A Capital Budgeting Example - A Descriptive Model OTHER: BUSPROG-Communication DISC- Mathematical Modeling DATE CREATED: 5/17/2017 3:39 PM DATE MODIFIED: 10/21/2017 8:35 PM 17. Which of the following is not one of advantages of mathematical models? a. Mathematical models enable managers to understand the problem better b. Mathematical models allow analysts to employ a variety of mathematical solution procedures c. The mathematical modeling process itself, if done correctly, often helps "sell" the solution d. Mathematical models help reduce the cost of obtaining a solution ANSWER: d POINTS: 1 DIFFICULTY: Easy Easy |Bloom's Knowledge Easy |Bloom's Comprehension QUESTION TYPE: Multiple Choice HAS VARIABLES: False TOPICS: 1.4 A Seven Step Modeling Process - Step 3 Model Development OTHER: BUSPROG-Communication DISC- Mathematical Modeling DATE CREATED: 5/17/2017 3:39 PM DATE MODIFIED: 10/21/2017 8:35 PM 18. Before trusting the answers to what-if scenarios from a spreadsheet model, a manager should attempt to: a. validate the model b. make sure all possible scenarios have been investigated c. check the mathematics in the model d. sense-check the model ANSWER: a POINTS: 1 DIFFICULTY: Easy Easy |Bloom's Knowledge Easy |Bloom's Comprehension QUESTION TYPE: Multiple Choice Page 8 of 216 TEST BANK FOR PRACTICAL MANAGEMENT SCIENCE, 6TH EDITION BY L. WINSTON. HAS VARIABLES: False TOPICS: 1.2 A Capital Budgeting Example - A Descriptive Model OTHER: BUSPROG-Communication DISC- Mathematical Modeling DATE CREATED: 5/17/2017 3:39 PM DATE MODIFIED: 10/21/2017 8:35 PM 19. Optimization models are useful for determining: a. sensitivity to inputs b. whether the inputs are valid or not c. what the manager should do d. the value of the output under the current conditions ANSWER: c POINTS: 1 DIFFICULTY: Easy Easy |Bloom's Knowledge Easy |Bloom's Comprehension QUESTION TYPE: Multiple Choice HAS VARIABLES: False TOPICS: 1.4 A Seven Step Modeling Process - The Model as a Beginning, Not an End OTHER: BUSPROG-Communication DISC- Mathematical Modeling DATE CREATED: 5/17/2017 3:39 PM DATE MODIFIED: 10/21/2017 8:35 PM 20. Management science has often been taught as a collection of: a. theories b. problems c. models d. topics ANSWER: c POINTS: 1 DIFFICULTY: Easy Easy |Bloom's Knowledge Easy |Bloom's Comprehension QUESTION TYPE: Multiple Choice HAS VARIABLES: False TOPICS: 1.6 Why Study Management Science? OTHER: BUSPROG-Communication DISC- Mathematical Modeling DATE CREATED: 5/17/2017 3:39 PM DATE MODIFIED: 10/21/2017 8:35 PM 21. The primary difference between management science and business analytics is Page 9 of 216 TEST BANK FOR PRACTICAL MANAGEMENT SCIENCE, 6TH EDITION BY L. WINSTON. a. management science is quantitative and business analytics is qualitative. b. business analytics uses more current quantitative methods. c. business analytics uses big data to solve business problems and provide insights. d. business analytics is a subset of management science. ANSWER: c POINTS: 1 DIFFICULTY: Moderate Moderate |Bloom's Knowledge Moderate |Bloom's Comprehension QUESTION TYPE: Multiple Choice HAS VARIABLES: False TOPICS: 1.4 A Seven Step Modeling Process OTHER: BUSPROG-Communication DISC- Mathematical Modeling DATE CREATED: 5/17/2017 3:39 PM DATE MODIFIED: 10/21/2017 8:35 PM 22. Defining an organization's problem includes: a. specifying the organization's objectives b. collecting the organization's historical data c. defining the model of the problem d. sensitivity analysis ANSWER: a POINTS: 1 DIFFICULTY: Easy Easy |Bloom's Knowledge Easy |Bloom's Comprehension QUESTION TYPE: Multiple Choice HAS VARIABLES: False TOPICS: 1.3 Modeling Versus Models OTHER: BUSPROG-Communication DISC- Mathematical Modeling DATE CREATED: 5/17/2017 3:39 PM DATE MODIFIED: 10/21/2017 8:35 PM 23. Which of the following type of model is used when inputs are modeled with probability distributions? a. Simulation model b. Deterministic model c. Heuristic model d. Spreadsheet model ANSWER: a POINTS: 1 Page 10 of 216 TEST BANK FOR PRACTICAL MANAGEMENT SCIENCE, 6TH EDITION BY L. WINSTON. DIFFICULTY: Easy Easy |Bloom's Knowledge Easy |Bloom's Comprehension QUESTION TYPE: Multiple Choice HAS VARIABLES: False TOPICS: 1.4 A Seven Step Modeling Process - Step 5 Optimization and Decision Making OTHER: BUSPROG-Communication DISC- Mathematical Modeling DATE CREATED: 5/17/2017 3:39 PM DATE MODIFIED: 10/21/2017 8:35 PM 24. A first step in determining how well a model fits reality is to: a. check whether the inputs are correct b. see if the sensitivity analysis is correct c. check whether the model is valid for the current situation d. try some what-if scenarios to see if the model is able to obtain solutions ANSWER: c POINTS: 1 DIFFICULTY: Easy Easy |Bloom's Knowledge Easy |Bloom's Comprehension QUESTION TYPE: Multiple Choice HAS VARIABLES: False TOPICS: 1.4 A Seven Step Modeling Process - Step 1 Problem Definition OTHER: BUSPROG-Communication DISC- Mathematical Modeling DATE CREATED: 5/17/2017 3:39 PM DATE MODIFIED: 10/21/2017 8:35 PM 25. Which of the following is not necessarily a property of a good model? a. The model represents the client's real problem accurately b. The model is as simple as possible c. The model is based on a well-known algorithm d. The model is one the client can understand ANSWER: c POINTS: 1 DIFFICULTY: Easy Easy |Bloom's Knowledge Easy |Bloom's Comprehension QUESTION TYPE: Multiple Choice HAS VARIABLES: False TOPICS: 1.4 A Seven Step Modeling Process - Step 2 Data Collection OTHER: BUSPROG-Communication DISC- Mathematical Modeling Page 11 of 216 TEST BANK FOR PRACTICAL MANAGEMENT SCIENCE, 6TH EDITION BY L. WINSTON. DATE CREATED: 5/17/2017 3:39 PM DATE MODIFIED: 10/21/2017 8:35 PM 26. Which of the following is a possible cause if a model's outputs for certain inputs are not as expected? a. The certain inputs may not be correct b. The model could be too detailed of an approximation of the actual situation c. The mathematics in the model are inadequate d. The analyst's expectations are not correct ANSWER: d POINTS: 1 DIFFICULTY: Easy Easy |Bloom's Knowledge Easy |Bloom's Comprehension QUESTION TYPE: Multiple Choice HAS VARIABLES: False TOPICS: 1.4 A Seven Step Modeling Process - Step 3 Model Development OTHER: BUSPROG-Communication DISC- Mathematical Modeling DATE CREATED: 5/17/2017 3:39 PM DATE MODIFIED: 10/21/2017 8:35 PM 27. Which of the following is not one of the guiding principles for a heuristic? a. Common sense b. Intuition c. Trial and error d. Optimality ANSWER: d POINTS: 1 DIFFICULTY: Moderate Moderate |Bloom's Knowledge Moderate |Bloom's Comprehension QUESTION TYPE: Multiple Choice HAS VARIABLES: False TOPICS: 1.4 A Seven Step Modeling Process - Step 4 Model Verification OTHER: BUSPROG-Communication DISC- Mathematical Modeling DATE CREATED: 5/17/2017 3:39 PM DATE MODIFIED: 10/21/2017 8:35 PM 28. Which of the following is not one of the desired conditions for a successful model implementation? a. The people who will run the model understand how to enter appropriate inputs b. The people who will run the model are able to run what-if analysis c. The people who will run the model are able to modify it Page 12 of 216 TEST BANK FOR PRACTICAL MANAGEMENT SCIENCE, 6TH EDITION BY L. WINSTON. d. The people who will run the model are able to interpret the model's outputs correctly ANSWER: c POINTS: 1 DIFFICULTY: Easy Easy |Bloom's Knowledge Easy |Bloom's Comprehension QUESTION TYPE: Multiple Choice HAS VARIABLES: False TOPICS: 1.4 A Seven Step Modeling Process - Step 5 Optimization and Decision Making OTHER: BUSPROG-Communication DISC- Mathematical Modeling DATE CREATED: 5/17/2017 3:39 PM DATE MODIFIED: 10/21/2017 8:35 PM 29. The most frequent cause of a failed implementation of a model is: a. the model is incorrect b. the analyst fails to communicate how to use the model c. the data for the model is unavailable d. the model is too complex ANSWER: b POINTS: 1 DIFFICULTY: Moderate Moderate |Bloom's Knowledge Moderate |Bloom's Comprehension QUESTION TYPE: Multiple Choice HAS VARIABLES: False TOPICS: 1.4 A Seven Step Modeling Process - Step 6 Model Communication to Management OTHER: BUSPROG-Communication DISC- Mathematical Modeling DATE CREATED: 5/17/2017 3:39 PM DATE MODIFIED: 10/21/2017 8:35 PM 30. Which of the following is not one of the reasons for the new-found relevance of management science models? a. Modeling is an important way to think about problems in general b. Modeling is often now a legal requirement c. The business world is increasingly driven by numbers d. Modeling helps develop intuition for problems ANSWER: b POINTS: 1 DIFFICULTY: Easy Easy |Bloom's Knowledge Easy |Bloom's Comprehension Page 13 of 216 TEST BANK FOR PRACTICAL MANAGEMENT SCIENCE, 6TH EDITION BY L. WINSTON. QUESTION TYPE: Multiple Choice HAS VARIABLES: False TOPICS: 1.4 A Seven Step Modeling Process - Step 7 Model Implementation OTHER: BUSPROG-Communication DISC- Mathematical Modeling DATE CREATED: 5/17/2017 3:39 PM DATE MODIFIED: 10/21/2017 8:35 PM True / False 1. Much of the power of spreadsheet models derives from their flexibility. a. True b. False ANSWER: True POINTS: 1 DIFFICULTY: Easy |Bloom's Knowledge Easy |Bloom's Comprehension QUESTION TYPE: True / False HAS VARIABLES: False TOPICS: 2.2. Basic Spreadsheet Modeling: Concepts and Practices OTHER: BUSPROG- Communication DISC- Spreadsheet Modeling DATE CREATED: 5/17/2017 3:44 PM DATE MODIFIED: 10/21/2017 8:36 PM 2. A shortcut for establishing absolute references is pressing the F9 key. a. True b. False ANSWER: False POINTS: 1 DIFFICULTY: Moderate |Bloom's Knowledge Moderate |Bloom's Comprehension QUESTION TYPE: True / False HAS VARIABLES: False TOPICS: 2.2. Basic Spreadsheet Modeling: Concepts and Practices OTHER: BUSPROG- Communication DISC- Spreadsheet Modeling DATE CREATED: 5/17/2017 3:44 PM DATE MODIFIED: 10/21/2017 8:36 PM 3. A chart is typically much more informative to a business manager than the table of numbers it is based on. Page 14 of 216 TEST BANK FOR PRACTICAL MANAGEMENT SCIENCE, 6TH EDITION BY L. WINSTON. a. True b. False ANSWER: True POINTS: 1 DIFFICULTY: Moderate |Bloom's Knowledge Moderate |Bloom's Comprehension QUESTION TYPE: True / False HAS VARIABLES: False TOPICS: 2.4 Breakeven Analysis - Forming a One Way Data Table OTHER: BUSPROG- Analytic DISC- Spreadsheet Modeling DATE CREATED: 5/17/2017 3:44 PM DATE MODIFIED: 10/21/2017 8:36 PM 4. Many models are built for the purpose of permitting experimentation with various scenarios. a. True b. False ANSWER: True POINTS: 1 DIFFICULTY: Moderate |Bloom's Knowledge Moderate |Bloom's Comprehension QUESTION TYPE: True / False HAS VARIABLES: False TOPICS: 2.4 Breakeven Analysis - Using Goal Seek OTHER: BUSPROG- Analytic DISC- Spreadsheet Modeling DATE CREATED: 5/17/2017 3:44 PM DATE MODIFIED: 10/21/2017 8:36 PM 5. Goal Seek is a means for answering a large number of what-if questions quickly and easily. a. True b. False ANSWER: False POINTS: 1 DIFFICULTY: Easy |Bloom's Knowledge Easy |Bloom's Comprehension QUESTION TYPE: True / False HAS VARIABLES: False TOPICS: 2.4 Breakeven Analysis - Using the Formula Auditing Tool