# BSOP 206 Week 4 Quiz

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## BSOP 206 Week 4 Quiz

 1 Question : (TCO 8) ABC Motors, Inc., wants to increase capacity by adding another wheel balancer. The fixed costs for the machine is \$16,000, and its variable cost is \$4.50 per unit. ABC charges \$8.50 to balance one wheel, the break-even point for the balancer. What is her break-even point in units?
 Student Answer: 250 wheels 1600 wheels 3000 wheels 4000 wheels

2.Question :(TCO 9) A full-service restaurant is considering opening a new facility in a specific city. The table below shows its ratings of four factors at each of two potential sites.

 Factor Weight Midtown Bayside Affluence of local population .30 40 40 Traffic flow .10 50 20 Parking availability .40 30 40 Growth potential .20 20 10

The score for Midtown is _____ and the score for Bayside is ______.

 Student Answer: Midtown = 7; Bayside = 8 Midtown = 30; Bayside = 29 Midtown = 30; Bayside = 45 Midtown = 33; Bayside = 32

 3 Question : (TCO 8) A fleet repair facility has a design capacity to repair 800 trucks per month. However, due to scheduled maintenance of their equipment, management feels that they can repair no more than 600 trucks per month. Last month, two of the employees were absent several days each and only 500 trucks were repaired. What is the utilization of the repair shop last month?
 Student Answer: 30.1% 50% 62.5% 25%

 4 Question : (TCO 8) ABC Cleaners’ washing machines have a design capacity 2800 pounds a day. Because of scheduled maintenance of their equipment, management feels that only 2600 pounds of clothes can be washed in a day. Yesterday three employees were sick and only 1900 pounds of clothes were washed. What was the efficiency of the washing machine yesterday?
 Student Answer: 120% 73% 80.8% 107%

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 5 Question : (TCO 8) Design capacity is the:
 Student Answer: maximum output of a system in a given period actual production over a specified time period in ideal conditions average output that can be achieved under ideal conditions maximum usable capacity of a particular facility the capacity a firm expects to achieve given the current operating constraints

 6 Question : (TCO 8) Actual output as a percent of design capacity is:
 Student Answer: Effective capacity Utilization Effectiveness Efficiency

 7 Question : (TCO 9) When making a location decision at the region/community level, which of these would be considered?
 Student Answer: government rules, attitudes, stability, and incentives location of markets air, rail, highway, and waterway systems zoning restrictions none of the above

 8 Question : (TCO 9) The focus in service location strategy is on:
 Student Answer: minimizing cost maximizing customer input locating far away from competition none of the above

 9 Question : (TCO 9) Community attitudes, zoning restrictions, and quality of labor force are likely to be considered in which of the following location decision methods?
 Student Answer: transportation method locational break-even analysis factor rating method simulation factor processes

 1 Question : (TCO 8) What are the assumptions of break-even analysis?

 2 Question : (TCO 8) Identify the six tactics for matching capacity to demand.

 3 Question : (TCO 9) What is the objective of a location strategy?

 4 Question : (TCO 9) Identify at least three of the conditions or situations that have fostered globalization.

 5 Question : (TCO 9) What are the major/critical factors that affect region/community location decisions?