Essential Objective Questions On Capacitor Planning

Q – 1 Measurement has revealed the following information on an operations system. Design capacity was 84 units per hour, planned losses were 12 units per hour, and actual output was 65 units per hour. What were the utilization and efficiency of the operation respectively?

1. 77% & 90%
2. 78% & 90%
3. 54% & 92%
4. 68% & 83%
5. 77% & 84%

Ans- 77% & 90%

Q – 2 The following figures were reported at a management meeting for the kitchen facility of a restaurant – actual output was 62 hours, design capacity is 150 hours, and the effective capacity was 120 hours. What are respectively the kitchen facilitys utilization and efficiency?

1. 0.41 & 0.52
2. 0.63 & 0.57
3. 0.54 & 0.68
4. 0.48 & 0.63
5. 0.38 & 0.41

Ans- 0.41 & 0.52

Q – 3 Expert Electronics Ltd. has 5 staff that spends 40 hours per day making 150 computers. By redesigning their manufacturing process, they increase output to 160 per day. What is the increase in productivity?

1. 6.66%
2. 5.97%
3. 6.06%
4. 7.77%
5. 4.34%

Ans- 6.66%

Q – 4 Super Computers Ltd. has 10 staff that spends 40 hours per day making 140 computers. By redesigning their manufacturing process, they increase output to 160 per day. What is the increase in productivity?

1. 12.50%
2. 10.87%
3. 20.0%
4. 8.26%
5. 14.29%

Ans- 14.29%

Q – 5 In an operating system, processes A / B / C have the following maximum designed capacity – A = 1600 units / B = 1550 units / C = 1800 units. If the actual measured output is 1400 units, what is the system efficiency?

1. 95%
2. 75%
3. 85%
4. 90%
5. 105%

Ans- 90%

Q – 6 The efficiency of an Operations system is measured in terms of its?

1. Actual output against effective capacity
2. Effective capacity against scheduled throughput
3. Effective capacity against designed capacity
4. Designed capacity against nominal capacity
5. Actual output against designed capacity

Ans- Actual output against effective capacity

Q – 7 With a ‘level capacity’ plan, which one of these statements is correct?

1. Throughput rates respond to changes in demand
2. Processes are buffered through inventory
3. Staff turnover is likely to be low
4. Processing capacity will vary according to demand
5. Outputs are stored until required

Ans- Outputs are stored until required

Q – 8 With a ‘chase demand’ strategy, which one of these statements is correct?

1. Outputs are stored until required
2. Processes are buffered through inventory
3. Throughput rates respond to changes in demand
4. Investment in plant and equipment will probably be low
5. Staff turnover is likely to be high

Ans- Throughput rates respond to changes in demand

Q – 9 The maximum output of a system in a given period is called?

1. The economic order quantity
2. The master production schedule
3. The production efficiency
4. The designed capacity
5. The breakeven point

Ans- The designed capacity

Q – 10 The first steps of capacity planning and control do not include?

1. Identifying the alternative capacity plans
2. Choosing the most appropriate capacity plan
3. Studying the effect of queuing theory
4. Measuring aggregate demand and capacity

Ans- Studying the effect of queuing theory

Q – 11 Which of the following alternative methods of responding to demand fluctuations is not appropriate?

1. Attempt to change demand to fit available capacity using demand management
2. Adjust capacity to reflect the fluctuations through a chase demand plan
3. Increase marketing activity and develop a chase demand plan
4. Ignore the fluctuations and apply a level capacity plan

Ans- Increase marketing activity and develop a chase demand plan

Q – 12 Yield management is not especially useful where?

1. Capacity is relatively fixed
2. The market can be fairly clearly segmented
3. The service/product can be stored
4. The service cannot be sold in advance

Ans- The service/product can be stored

Q – 13 Which of the following is not a measure of utilization?

1. Load factor for aircraft
2. Number of hours available for production
3. Room occupancy level in hotels
4. Uptime in a factory

Ans- Number of hours available for production

Q – 14 What is meant by yield management?

1. Overbooking capacity to ensure that all capacity is filled at all times
2. Encouraging growth in demand during periods of low demand and restraining it during periods of high demand
3. Expanding the operation at periods of high demand in order to yield more sales revenue
4. The maximization of profit through capacity, demand and pricing policies

Ans- The maximization of profit through capacity, demand and pricing policies

Q – 15 The most favorable solution to non-uniform demand is probably to?

1. Always maintain excess capacity
2. Use overtime or part-time workers
3. Hire or lay off workers as required
4. Build up sufficient inventory to meet heavy demand
5. Employ a mixed capacity management plan

Ans- Employ a mixed capacity management plan

Q – 16 Capacity is usually expressed in terms of?

1. The design life of an operations process
2. Potential output from an operations system
3. Man-hours available without overtime
4. The Master Production Schedule
5. A production forecast

Ans- Potential output from an operations system