Question 1

Locational cost-profit-volume analysis assumes
(I) nonlinear variable costs.(II) fixed costs that are constant over the range of possible output.(III) accurate estimates regarding the required level of output.(IV) multiple products.

Accepted Answer

A)  I, III, and IV only
B)  II and III only
C)  I, II, and III only
D)  II, III, and IV only
E)  I, II, III, and IVF) A) and E)
G) A) and D)

Question 2

When a location evaluation includes both quantitative and qualitative inputs, a technique that can be used is

Accepted Answer

A)  linear programming.
B)  consumer surveys.
C)  factor rating.
D)  transportation models.
E)  center of gravity methods.F) A) and E)
G) A) and D)

Question 3

A location analysis has been narrowed down to three locations. The critical factors, their weights, and the ratings for each location are shown below

If the selection criterion is to be the greatest composite score, management should choose

Accepted Answer

A)  location A.
B)  location B.
C)  location C.
D)  either location B or location C.
E)  to reject all locations.F) None of the above
G) A) and B)

Question 4

A location analysis has been narrowed down to two locations, Akron and Boston. The main factors in the decision will be the supply of raw materials, which has a weight of 0.50, transportation cost, which has a weight of 0.40, and labor cost, which has a weight of 0.10. The scores for raw materials, transportation, and labor are for Akron 60, 80, and 70, respectively; for Boston 70, 50, and 90, respectively. Given this information and a minimum acceptable composite score of 75, we can say that the manager should

Accepted Answer

A)  be indifferent between these locations.
B)  choose Akron.
C)  choose Boston.
D)  reject both locations.
E)  build a plant in both cities.F) A) and C)
G) B) and C)

Question 5

Technology has made communication with global operations as easy as local communication.

Accepted Answer

A) True 
 B)False

Exam 8: Location Planning and Analysis

Technology has made communication with global operations as easy as local communication.

Correct Answer
verified

A location analysis has been narrowed down to three locations. The critical factors, their weights, and the ratings for each location are shown below If the selection criterion is to be the greatest composite score, management should choose

Correct Answer
verified

When a location evaluation includes both quantitative and qualitative inputs, a technique that can be used is

Correct Answer
verified

Locational cost-profit-volume analysis assumes (I) nonlinear variable costs.(II) fixed costs that are constant over the range of possible output.(III) accurate estimates regarding the required level of output.(IV) multiple products.

Correct Answer
verified

Correct Answer
verified

Exam 8: Location Planning and Analysis

Technology has made communication with global operations as easy as local communication.

Correct AnswerverifiedShow Answer

A location analysis has been narrowed down to three locations. The critical factors, their weights, and the ratings for each location are shown below If the selection criterion is to be the greatest composite score, management should choose

Correct AnswerverifiedShow Answer

When a location evaluation includes both quantitative and qualitative inputs, a technique that can be used is

Correct AnswerverifiedShow Answer

Locational cost-profit-volume analysis assumes (I) nonlinear variable costs.(II) fixed costs that are constant over the range of possible output.(III) accurate estimates regarding the required level of output.(IV) multiple products.

Correct AnswerverifiedShow Answer

Correct AnswerverifiedShow Answer

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified