Question 1

During the process of operational planning, management must compare market demand with

Accepted Answer

A)  market supply. 
B)  consumer demand. 
C)  planned supply. 
D)  available human resources. 
E)  capacity. 
A)  market supply. 
B)  consumer demand. 
C)  planned supply. 
D)  available human resources. 
E)  capacity.

Question 2

During the period after World War II, the United States was the most productive country in the world for approximately ____ years.

Accepted Answer

A)  five 
B)  ten 
C)  twenty 
D)  thirty 
E)  fifty 
A)  five 
B)  ten 
C)  twenty 
D)  thirty 
E)  fifty

Question 3

A Boeing factory in Everett, Washington, manufactures 787 Dreamliner jet aircraft. What type of layout is most likely in this factory?

Accepted Answer

A)  Output 
B)  Fixed-position 
C)  Product 
D)  Process 
E)  Cell-rotation 
A)  Output 
B)  Fixed-position 
C)  Product 
D)  Process 
E)  Cell-rotation

Question 4

An analytical process breaks raw materials into different component parts.

Accepted Answer

A) True 
 B)False

Question 5

The quantity that customers will demand at the going price is called the

Accepted Answer

A)  economic demand. 
B)  market demand. 
C)  capacity. 
D)  consumer need. 
E)  inventory. 
A)  economic demand. 
B)  market demand. 
C)  capacity. 
D)  consumer need. 
E)  inventory.

Question 6

The process of checking and testing products to ensure that they meet specifications is called

Accepted Answer

A)  inventory control. 
B)  quality control. 
C)  quality inspection. 
D)  assurance. 
E)  check pointing. 
A)  inventory control. 
B)  quality control. 
C)  quality inspection. 
D)  assurance. 
E)  check pointing.

Question 7

Define design planning. How does it differ from operational planning?

Accepted Answer

Design planning refers to the process of

Question 8

A group of design engineers for Ford Motor Company spend two months in the summer in the Arizona desert researching fuel performance at extreme temperatures. Ford uses the results of these tests to improve the quality of its automobiles. The group of engineers is engaging in

Accepted Answer

A)  applied research. 
B)  product design. 
C)  basic research. 
D)  design planning. 
E)  horizon planning. 
A)  applied research. 
B)  product design. 
C)  basic research. 
D)  design planning. 
E)  horizon planning.

Question 9

A process layout is used when all products undergo the same operations in the same sequence.

Accepted Answer

A) True 
 B)False

Question 10

A service economy is one in which more effort is devoted to the production of goods than to the production of services.

Accepted Answer

A) True 
 B)False

Question 11

Trey regularly spends an entire working day ensuring that goods and services are produced in accordance with design specifications. Obviously, ____ is important in her company.

Accepted Answer

A)  product design 
B)  design planning 
C)  quality control 
D)  inventory control 
E)  operations control 
A)  product design 
B)  design planning 
C)  quality control 
D)  inventory control 
E)  operations control

Question 12

Texaco uses a synthetic process when it refines crude oil.

Accepted Answer

A) True 
 B)False

Question 13

When Company Tech decides to produce a new product line and determines the desired capacity and use of technology, the next step is to

Accepted Answer

A)  decide how big to build the new factory. 
B)  hire new workers for the facility. 
C)  decide whether to build a new plant or refurbish an existing plant. 
D)  determine which of the company's existing plants is best suited to produce the new product. 
E)  determine what the magnitude of the conversion process will be. 
A)  decide how big to build the new factory. 
B)  hire new workers for the facility. 
C)  decide whether to build a new plant or refurbish an existing plant. 
D)  determine which of the company's existing plants is best suited to produce the new product. 
E)  determine what the magnitude of the conversion process will be.

Question 14

A group of similar products that differ only in relatively minor characteristics is called

Accepted Answer

A)  inventory. 
B)  a product line. 
C)  product design. 
D)  design planning. 
E)  inventory control. 
A)  inventory. 
B)  a product line. 
C)  product design. 
D)  design planning. 
E)  inventory control.

Question 15

Purchasing personnel should check the reliability of potential suppliers as well as suppliers' ability to meet delivery schedules.

Accepted Answer

A) True 
 B)False

Question 16

Materials that will become part of a product during the conversion process are called raw materials.

Accepted Answer

A) True 
 B)False

Question 17

Abbot Laboratory is embarking on a sophisticated technology that requires special skills. To address this problem, the company has decided to recruit employees with the appropriate skills rather than train the existing employees. This decision affects the work of the ____ manager.

Accepted Answer

A)  financial 
B)  human resources 
C)  personnel 
D)  operations 
E)  marketing 
A)  financial 
B)  human resources 
C)  personnel 
D)  operations 
E)  marketing

Question 18

Technology that is characterized by high initial costs and low operating costs is termed

Accepted Answer

A)  a quality circle. 
B)  capital-intensive. 
C)  an industrial installation. 
D)  labor-intensive. 
E)  a process layout. 
A)  a quality circle. 
B)  capital-intensive. 
C)  an industrial installation. 
D)  labor-intensive. 
E)  a process layout.

Question 19

Amara is in charge of obtaining the flour, sugar, and other ingredients needed for her employer, Baker's Café. Amara is in charge of

Accepted Answer

A)  procurement. 
B)  corporate buying. 
C)  purchasing. 
D)  inventory control. 
E)  shopping. 
A)  procurement. 
B)  corporate buying. 
C)  purchasing. 
D)  inventory control. 
E)  shopping.

Question 20

Compare and contrast the ideas of labor-intensive and capital-intensive technology.

Accepted Answer

Labor-intensive technology refers to pro

Exam 8: Producing Quality Goods and Services

During the process of operational planning, management must compare market demand with

During the period after World War II, the United States was the most productive country in the world for approximately ____ years.

A Boeing factory in Everett, Washington, manufactures 787 Dreamliner jet aircraft. What type of layout is most likely in this factory?

An analytical process breaks raw materials into different component parts.

The quantity that customers will demand at the going price is called the

The process of checking and testing products to ensure that they meet specifications is called

Define design planning. How does it differ from operational planning?

A group of design engineers for Ford Motor Company spend two months in the summer in the Arizona desert researching fuel performance at extreme temperatures. Ford uses the results of these tests to improve the quality of its automobiles. The group of engineers is engaging in

A process layout is used when all products undergo the same operations in the same sequence.

A service economy is one in which more effort is devoted to the production of goods than to the production of services.

Trey regularly spends an entire working day ensuring that goods and services are produced in accordance with design specifications. Obviously, ____ is important in her company.

Texaco uses a synthetic process when it refines crude oil.

When Company Tech decides to produce a new product line and determines the desired capacity and use of technology, the next step is to

A group of similar products that differ only in relatively minor characteristics is called

Purchasing personnel should check the reliability of potential suppliers as well as suppliers' ability to meet delivery schedules.

Materials that will become part of a product during the conversion process are called raw materials.

Abbot Laboratory is embarking on a sophisticated technology that requires special skills. To address this problem, the company has decided to recruit employees with the appropriate skills rather than train the existing employees. This decision affects the work of the ____ manager.

Technology that is characterized by high initial costs and low operating costs is termed

Amara is in charge of obtaining the flour, sugar, and other ingredients needed for her employer, Baker's Café. Amara is in charge of

Compare and contrast the ideas of labor-intensive and capital-intensive technology.

Exploring the World of Business and Economics

A: Being Ethical and Socially Responsible

B: Being Ethical and Socially Responsible

A: Exploring Global Business

B: Exploring Global Business

Choosing a Form of Business Ownership

Small Business, Entrepreneurship, and Franchises

Understanding the Management Process

Creating a Flexible Organization

Attracting and Retaining the Best Employees

Motivating and Satisfying Employees and Teams

Enhancing Union-Management Relations

Building Customer Relationships Through Effective Marketing

A: Creating and Pricing Products That Satisfy Customers

B: Creating and Pricing Products That Satisfy Customers

Wholesaling, Retailing, and Physical Distribution

Developing Integrated Marketing Communications

Social Media, E-Business, and Accounting

Using Management and Accounting Information

Understanding Money, Banking, and Credit

Mastering Financial Management

A: Understanding Personal Finances and Investments

B: Understanding Personal Finances and Investments

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