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Alimullah Miyan
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Set: A
Mid Term Exam of Fall Semester 2020

Course Code: POP 301 Time: 45 Minutes

Course Title: Production-Operations Management Full Marks: 100

Answers all the questions on your answer scripts

1. Calculate the forecasted value for selling using Naïve & 3 period moving average and also 30
calculate MAD from April to June and evaluate which method is more appropriate. Here,
X= Last digit of your student ID.
Month Sale Forecast
Jan 56X
Feb 55X
Mar 57X
Apr 540
May 640
Jun 619
Jul ?

2. A toy manufacturer uses 48,000 rubber wheels per year for its popular dump truck series. 20
The firm makes its own wheels, which it can produce at a rate of 800 per day. The toy
trucks are assembled uniformly over the entire year. Carrying cost is $1 per wheel a year.
Setup cost for a production run of wheels is $45. The firm operates 240 days per year.
Determine the-
a. Optimal run size, Qp.
b. Run time to produce, Qp.
c. Cycle time for the optimal run size.
d. Draw the Cycle of EPQ using data from above calculation.

3. Describe all the capacity options. 20

4. Describe all the operational strategy for being competitive in the market. 30