Ch.11 Operational Transport Tools Test Bank Answers Russell - Operations Management 2e Canadian Test Bank by Roberta S. Russell. DOCX document preview.
SUPPLEMENT TO CHAPTER 11
OPERATIONAL DECISION-MAKING TOOLS: Transportation and Trans-shipment Models
CHAPTER LEARNING OBJECTIVES
1. Use the transportation model to determine the lowest cost method of transporting from sources with fixed supply to destinations with fixed demand. An important factor in supply chain management is determining the lowest-cost transportation provider from among several alter- natives. The transportation model, like the trans-shipment model, is used to analyze logistical supply chain problems, specifically the distribution of items from sources to destinations
2. Use the trans-shipment model to determine the lowest cost method of transporting from sources with fixed supply to destinations with fixed demand when there are intermediate destination points. The trans-shipment model is an extension of the transportation model in which intermediate trans-shipment points are added between the sources and destinations. In a trans-shipment problem, items may be transported from sources through trans-shipment points on to destinations, from one source to another, from one trans-shipment point to another, from one destination to another, or directly from sources to destinations, or some combination of these alternatives.
TRUE-FALSE STATEMENTS
1. An important factor in supply chain management is determining the lowest-cost transportation provider from among several alternatives.
Difficulty: Easy
Learning Objective: Use the transportation model to determine the lowest cost method of transporting from sources with fixed supply to destinations with fixed demand.
Section Reference: S11.1 The Transportation Model
Blooms: Knowledge
AACSB: Reflective Thinking
2. Two quantitative techniques that are used for determining the least cost means of transporting goods and services are the transportation method and the queuing method.
Difficulty: Easy
Learning Objective: Use the transportation model to determine the lowest cost method of transporting from sources with fixed supply to destinations with fixed demand.
Section Reference: S11.1 The Transportation Model
Blooms: Knowledge
AACSB: Reflective Thinking
3. In a transportation model each source is able to supply a fixed number of units of the product and each destination has a fixed demand for the product.
Difficulty: Medium
Learning Objective: Use the transportation model to determine the lowest cost method of transporting from sources with fixed supply to destinations with fixed demand.
Section Reference: S11.1 The Transportation Model
Blooms: Comprehension
AACSB: Reflective Thinking
4. Transportation models can be solved within the context of a transportation table.
Learning Objective: Use the transportation model to determine the lowest cost method of transporting from sources with fixed supply to destinations with fixed demand.
Section Reference: S11.1 The Transportation Model
Blooms: Knowledge
AACSB: Reflective Thinking
5. Each cell in a transportation table represents the amount transported from one source to all destinations.
Difficulty: Medium
Section Reference: The Transportation Model
Learning Objective: Use the transportation model to determine the lowest cost method of transporting from sources with fixed supply to destinations with fixed demand.
Section Reference: S11.1 The Transportation Model
Blooms: Comprehension
AACSB: Reflective Thinking
6. The stepping-stone method is a quantitative technique that can be used to solve transportation models quantitatively.
Difficulty: Medium
Section Reference: The Transportation Model
Learning Objective: Use the transportation model to determine the lowest cost method of transporting from sources with fixed supply to destinations with fixed demand.
Section Reference: S11.1 The Transportation Model
Blooms: Comprehension
AACSB: Reflective Thinking
7. It is not possible to solve transportation models using spreadsheets like Microsoft Excel.
Difficulty: Easy
Learning Objective: Use the transportation model to determine the lowest cost method of transporting from sources with fixed supply to destinations with fixed demand.
Section Reference: S11.1 The Transportation Model
Blooms: Knowledge
AACSB: Reflective Thinking
8. If a route is prohibited, units can be transported from a particular source to a particular destination.
Difficulty: Easy
Learning Objective: Use the transportation model to determine the lowest cost method of transporting from sources with fixed supply to destinations with fixed demand.
Section Reference: S11.1 The Transportation Model
Blooms: Knowledge
AACSB: Reflective Thinking
9. The trans-shipment model is an extension of the transportation model in which intermediate trans-shipment points are added between the sources and destinations.
Difficulty: Medium
Learning Objective: Use the trans-shipment model to determine the lowest cost method of transporting from sources with fixed supply to destinations with fixed demand when there are intermediate destination points.
Section Reference: S11.2 The Trans-Shipment Model
Blooms: Comprehension
AACSB: Reflective Thinking
10. In a transportation model the total supply and total demand must be equal.
Difficulty: Medium
Learning Objective: Use the trans-shipment model to determine the lowest cost method of transporting from sources with fixed supply to destinations with fixed demand when there are intermediate destination points.
Section Reference: S11.2 The Trans-Shipment Model
Blooms: Comprehension
AACSB: Reflective Thinking
11. In an unbalanced transportation problem supply and demand are not equal.
Difficulty: Easy
Learning Objective: Use the trans-shipment model to determine the lowest cost method of transporting from sources with fixed supply to destinations with fixed demand when there are intermediate destination points.
Section Reference: S11.2 The Trans-Shipment Model
Blooms: Knowledge
AACSB: Reflective Thinking
MULTIPLE CHOICE QUESTIONS
12. The following transportation table shows the cost of shipping one unit from each source to each destination in the upper right-hand corner of each cell, as well as the supply capacities and demand requirements:
The optimal solution is:
The total cost of the shipping plan is:
a) $17,000
b) $25,000
c) $50,000
d) $66,000
Difficulty: Hard
Learning Objective: Use the transportation model to determine the lowest cost method of transporting from sources with fixed supply to destinations with fixed demand.
Section Reference: S11.1 The Transportation Model
Blooms: Application
AACSB: Analytic
13. The following transportation table shows the cost of shipping one unit from each source to each destination in the upper right-hand corner of each cell, as well as the supply capacities and demand requirements:
The optimal solution is:
The total amount shipped from Boise to Los Angeles is:
a) 3
b) 6
c) 3,000
d) 5,000
Difficulty: Medium
Learning Objective: Use the transportation model to determine the lowest cost method of transporting from sources with fixed supply to destinations with fixed demand.
Section Reference: S11.1 The Transportation Model
Blooms: Application
AACSB: Analytic
14. The following transportation table shows the cost of shipping one unit from each source to each destination in the upper right-hand corner of each cell, as well as the supply capacities and demand requirements:
The optimal solution is:
How many units of New York demand are supplied from Omaha?
a) 5
b) 10
c) 1,500
d) 6,000
Difficulty: Medium
Learning Objective: Use the transportation model to determine the lowest cost method of transporting from sources with fixed supply to destinations with fixed demand.
Section Reference: S11.1 The Transportation Model
Blooms: Application
AACSB: Analytic
15. The following transportation table shows the cost of shipping one unit from each source to each destination in the upper right-hand corner of each cell, as well as the supply capacities and demand requirements:
The optimal solution is:
The total amount shipped from Portland to Dallas is:
a) 4,500
b) 1,000
c) 4,000
d) 1,500
Difficulty: Medium
Learning Objective: Use the transportation model to determine the lowest cost method of transporting from sources with fixed supply to destinations with fixed demand.
Section Reference: S11.1 The Transportation Model
Blooms: Application
AACSB: Analytic
16. The following transportation table shows the cost of shipping one unit from each source to each destination in the upper right-hand corner of each cell, as well as the supply capacities and demand requirements:
The optimal solution is:
The total cost of the shipping plan is:
a) $15,000
b) $18,500
c) $35,500
d) $43,500
Difficulty: Hard
Learning Objective: Use the transportation model to determine the lowest cost method of transporting from sources with fixed supply to destinations with fixed demand.
Section Reference: S11.1 The Transportation Model
Blooms: Application
AACSB: Analytic
17. The following transportation table shows the cost of shipping one unit from each source to each destination in the upper right-hand corner of each cell, as well as the supply capacities and demand requirements:
The optimal solution is:
How many units of Albany demand are supplied from Nashville?
a) 4,500
b) 4,000
c) 1,500
d) 1,000
Difficulty: Medium
Learning Objective: Use the transportation model to determine the lowest cost method of transporting from sources with fixed supply to destinations with fixed demand.
Section Reference: S11.1 The Transportation Model
Blooms: Application
AACSB: Analytic
18. One way to incorporate a prohibited route in a transportation problem is to
a) assign a low cost, relative to the other route shipping costs, to the prohibited route
b) assign a high cost, relative to the other route shipping costs, to the prohibited route
c) assign a zero cost to the prohibited route
d) transportation problems with prohibited routes cannot be modeled
Difficulty: Medium
Learning Objective: Use the transportation model to determine the lowest cost method of transporting from sources with fixed supply to destinations with fixed demand.
Section Reference: S11.1 The Transportation Model
Blooms: Comprehension
AACSB: Reflective Thinking
19. Having more than one shipping distribution but with the same total cost is known as:
a) a prohibited solution
b) an unequal solution
c) an alternative optimal solution
d) a trans-shipment solution
Difficulty: Medium
Learning Objective: Use the transportation model to determine the lowest cost method of transporting from sources with fixed supply to destinations with fixed demand.
Section Reference: S11.1 The Transportation Model
Blooms: Comprehension
AACSB: Reflective Thinking
20. The following transportation table shows the cost of shipping one unit from each source to each destination in the upper right-hand corner of each cell, as well as the supply capacities and demand requirements:
Use MS Excel Solver (or other appropriate software) to find the optimal solution. The minimum cost is:
a) $66,000
b) $63,000
c) $61,500
d) $60,500
Difficulty: Medium
Learning Objective: Use the transportation model to determine the lowest cost method of transporting from sources with fixed supply to destinations with fixed demand.
Section Reference: S11.1 The Transportation Model
Blooms: Application
AACSB: Analytic
21. The following transportation table shows the cost of shipping one unit from each source to each destination in the upper right-hand corner of each cell, as well as the supply capacities and demand requirements:
Use MS Excel Solver (or other appropriate software) to find the optimal solution. The minimum decrease in the unit shipping cost from St. Louis to New York that would change the optimal solution is:
a) 0.95
b) 1.00
c) 1.01
d) 1.50
Difficulty: Medium
Learning Objective: Use the transportation model to determine the lowest cost method of transporting from sources with fixed supply to destinations with fixed demand.
Section Reference: S11.1 The Transportation Model
Blooms: Application
AACSB: Analytic
22. The following transportation table shows the cost of shipping one unit from each source to each destination in the upper right-hand corner of each cell, as well as the supply capacities and demand requirements:
Use MS Excel Solver (or other appropriate software) to find the optimal solution. In the optimal solution, the amount shipped from Charlotte to New York is:
a) 1500
b) 2500
c) 4500
d) 5500
Difficulty: Medium
Learning Objective: Use the transportation model to determine the lowest cost method of transporting from sources with fixed supply to destinations with fixed demand.
Section Reference: S11.1 The Transportation Model
Blooms: Application
AACSB: Analytic
N23. Which of the following is a manual method for solving transportation models?
a) mixed methods
b) modified distribution method
c) randomized block method
d) variable destination method
Difficulty: Easy
Learning Objective: Use the transportation model to determine the lowest cost method of transporting from sources with fixed supply to destinations with fixed demand.
Section Reference: S11.1 The Transportation Model
Blooms: Knowledge
AACSB: Reflective Thinking
Use this problem for the next four (4) questions.
A company has manufacturing plants in Las Vegas, Portland, and Seattle. Items produced from these plants are boxed and shipped to warehouses in Minneapolis and Chicago where they are tested and repackaged for distribution to final customers in New York, Miami, and Charlotte. The network of trans-shipment routes shown below indicates the cost associated with shipping a box from the plants to the warehouses and then the cost of shipping the repackaged unit from the warehouses to the final customers.
14
10
22
20
16
12
18
13
20
14
Chicago
Minneapolis
15
17
Las Vegas
Seattle
New York
Miami
Charlotte
Portland
Assume that the supply and demand requirements are as shown in the table below.
Plant | Supply | Customer | Demand |
Las Vegas | 1500 | New York | 2500 |
Portland | 2000 | Miami | 2000 |
Seattle | 4500 | Charlotte | 3500 |
The company would like to determine the lowest cost shipping and distribution plan.
The following solution was produced using Microsoft Excel.
24. How many units are shipped through the Minneapolis trans-shipment point?
a) 500
b) 1,500
c) 2,500
d) 3,500
Difficulty: Medium
Learning Objective: Use the trans-shipment model to determine the lowest cost method of transporting from sources with fixed supply to destinations with fixed demand when there are intermediate destination points.
Section Reference: S11.2 The Trans-Shipment Model
Blooms: Application
AACSB: Analytic
25. How many boxes are sent from Seattle to the Chicago trans-shipment point?
a) 500
b) 1,500
c) 2,500
d) 4,000
Difficulty: Medium
Learning Objective: Use the trans-shipment model to determine the lowest cost method of transporting from sources with fixed supply to destinations with fixed demand when there are intermediate destination points.
Section Reference: S11.2 The Trans-Shipment Model
Blooms: Application
AACSB: Analytic
26. How many boxes are shipped from Seattle?
a) 4,500
b) 4,000
c) 1,500
d) 500
Difficulty: Medium
Learning Objective: Use the trans-shipment model to determine the lowest cost method of transporting from sources with fixed supply to destinations with fixed demand when there are intermediate destination points.
Section Reference: S11.2 The Trans-Shipment Model
Blooms: Application
AACSB: Analytic
27. What is the overall cost of the trans-shipment plan shown above?
a) $215,000
b) $231,000
c) $286,000
d) $343,000
Difficulty: Hard
Learning Objective: Use the trans-shipment model to determine the lowest cost method of transporting from sources with fixed supply to destinations with fixed demand when there are intermediate destination points.
Section Reference: S11.2 The Trans-Shipment Model
Blooms: Application
AACSB: Analytic
Use this problem for the next four (4) questions.
Anderson Corporation manufactures a product at three different facilities located at Boston, Philadelphia and Atlanta and ships them to warehouses at Chicago, New York, and Dallas. The Boston and Atlanta plants can also ship these products to Philadelphia. The cost to ship one product between facilities, along with the monthly capacities and requirements are shown in the table below. The company would like a plan to minimize total transportation costs.
Plant | New York | Chicago | Dallas | Philadelphia | Capacity |
Boston | 25 | 50 | 75 | 15 | 500 |
Philadelphia | 30 | 45 | 65 | --- | 300 |
Atlanta | 50 | 70 | 30 | 20 | 600 |
Requirements | 600 | 400 | 200 | -- |
Excel provides the following optimal solution:
New York | Chicago | Dallas | Philadelphia | |
Boston | 500 | |||
Philadelphia | 100 | 400 | ||
Atlanta | 200 | 200 |
28. Which facility is not producing at capacity?
a) Boston
b) Philadelphia
c) Atlanta
d) New York
Difficulty: Medium
Learning Objective: Use the trans-shipment model to determine the lowest cost method of transporting from sources with fixed supply to destinations with fixed demand when there are intermediate destination points.
Section Reference: S11.2 The Trans-Shipment Model
Blooms: Application
AACSB: Analytic
29. How many units are being shipped from Philadelphia?
a) 0
b) 200
c) 400
d) 500
Difficulty: Medium
Learning Objective: Use the trans-shipment model to determine the lowest cost method of transporting from sources with fixed supply to destinations with fixed demand when there are intermediate destination points.
Section Reference: S11.2 The Trans-Shipment Model
Blooms: Application
AACSB: Analytic
30. How many units are being shipped to New York?
a) 0
b) 400
c) 500
d) 600
Difficulty: Medium
Learning Objective: Use the trans-shipment model to determine the lowest cost method of transporting from sources with fixed supply to destinations with fixed demand when there are intermediate destination points.
Section Reference: S11.2 The Trans-Shipment Model
Blooms: Application
AACSB: Analytic
31. What is the total cost of the optimal solution?
a) $43,500
b) $48,500
c) $54,200
d) $56,900
Difficulty: Hard
Learning Objective: Use the trans-shipment model to determine the lowest cost method of transporting from sources with fixed supply to destinations with fixed demand when there are intermediate destination points.
Section Reference: S11.2 The Trans-Shipment Model
Blooms: Application
AACSB: Analytic
32. The spreadsheet cell that contains the total cost of the transportation plan is known as the __________ in Excel’s Solver dialog box.
a) Changing Cell
b) Target Cell
c) Constraint Cell
d) Total Cost Cell
Difficulty: Easy
Learning Objective: Use the trans-shipment model to determine the lowest cost method of transporting from sources with fixed supply to destinations with fixed demand when there are intermediate destination points.
Section Reference: S11.2 The Trans-Shipment Model
Blooms: Knowledge
AACSB: Analytic
33. Prohibited Routes are applicable to which of the following models?
a) transportation model only
b) trans-shipment model only
c) both the transportation and trans-shipment models
d) none of the above
Difficulty: Medium
Learning Objective: Use the transportation model to determine the lowest cost method of transporting from sources with fixed supply to destinations with fixed demand.
Section Reference: S11.1 The Transportation Model
Learning Objective: Use the trans-shipment model to determine the lowest cost method of transporting from sources with fixed supply to destinations with fixed demand when there are intermediate destination points.
Section Reference: S11.2 The Trans-Shipment Model
Blooms: Comprehension
AACSB: Reflective Thinking
Document Information
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