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Lockdown Period
Open Practice Test Series
(Also useful for ESE & Other Exams)
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PI : PRODUCTION & INDUSTRIAL ENGG.

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TEST NO. - 9 | Operation Research

Read the following instructions carefully

1. This question paper contains 33 MCQ’s & NAQ’s. Bifurcation of the questions is given below:
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2. Choose the closest numerical answer among the choices given.

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Multiple Choice Questions : Q.1 to Q.9 carry 1 mark each

Q.1 What will be the smoothing constant, for 7 period moving average?
(a) 0.28 (b) 0.25
(c) 0.33 (d) 0.4

1. (b)
For n = 7

2 2
Smoothing constant, α = = = 0.25
n +1 7+1

Q.2 In waiting line problem if the arrivals are completely random, the probability distribution of number of
arrivals in a given time follows a/an

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(a) poisson distribution (b) normal distribution
(c) exponential distribution (d) None of these

2. (a)

Q.3 Sinking fund method is useful in EA

(a) depreciation (b) obsolescence
(c) liquidation (d) scrap value

3. (a)

Q.4 Assignment problem is a square type matrix (n × n), then the number of constraints will be
(a) n (b) 2n
(c) Cn (d) n 2
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4. (b)

Q.5 Following given processes are used in value analysis

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A. Blast B. Refine
C. Create
Sequence of the processes will be
(a) A - B - C (b) A - C - B
(c) B - A - C (d) C - A - B

5. (b)
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Q.6 Five jobs are going through two machines A and B in order AB. Processing times (in hours) is given in the
table below:
Job P Q R S T
A 5 1 9 3 10
B 2 6 7 8 4

Then the sequence for the five jobs that will minimize the elapsed time is
(a) T - P - S - R - Q (b) S - Q - R - T - P
(c) Q - S - R - T - P (d) Q - S - R - P - T

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6. (c)
Job Machine A Machine B
P 5 2
Q 1 6
R 9 7
S 3 8
T 10 4

Sequence Q - S - R - T - P

Q.7 An activity has three time estimates as optimistic time(a) = 14, most likely time (m) = 20 and pessimistic
time (b) = 26. What will be the standard deviation?
(a) 4 (b) 2

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(c) 6 (d) 8

7. (b)
Given: a = 14
m = 20
b = 26

Standard deviation, σ =
6
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b − a 26 − 14
=
6
=2

Q.8 Modified distribution method has it’s application in

(a) Assignment problem (b) Transportation problem
(c) Queuing problem (d) Inventory control

8. (b)
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Q.9 An order is placed once a month to meet an annual demand of 7200 units, then the average inventory
would be:
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(a) 600 units (b) 3600 units

(c) 150 units (d) 300 units

9. (d)
Number of orders = 12
7200
Q* = = 600
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12
600
Average inventory = = 300 units
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Numerical Answer Type Questions : Q. 10 to Q. 16 carry 1 mark each

Q.10 The demand of the years of a particular product is given as

Years 2001 2002 2003 2004
Demand 44 56 52 48

Using the past average method, the forecast for year 2005 will be ________.
10. (50) (No range)
44 + 56 + 52 + 48 200
Forecast, F2005 = = = 50
4 4

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Q.11 In a linear programming problem, 4-constraints with two variables x and y and non-negativity x > 0, y > 0
are used, then the feasible region in the graphical solution will be surrounded by maximum _________
(Number of lines) lines.

11. (6) (No range)

Number of constraints = 4
Number of lines of feasible region ≤ 4 + 2
≤ 6

Q.12 A CPM network of a construction project is given in the figure below. The activity durations are mentioned
in weeks. The project completion time will be ________ weeks.
C,3
2 5

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A,7 F,4

1 D,8 6

B,6 G,3
3 4
E,5

12. (18) (No range)

Path
1-2-5-6
→
→
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Project Completion time
14
1-3-4-6 → 14
1-3-5-6 → 18 → Maximum
1-3-4-5-6 → 15

Q.13 For a industry, the fixed cost per month is `6000. The variable cost per product is `30 and the sales price
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is `40 per piece. The break even production per month will be ________ piece.

13. (600) (No range)

F = `6000
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v = `30
s = `40
x = ?
F 6000
At break even point, x = = = 600 piece
s − v 40 − 30
Q.14 A refrigerator costs `20000. By constant rate of declining balance method of depreciation, its salvage
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value after an expected life of 4 years is `6000. The rate of depreciation is _____.

14. (0.26) (0.24 to 0.27)

Given: Initial cost, Ci = `20000
Salvage cost, Cs = `6000
n = 4
1/ n 1/ 4
⎛C ⎞ ⎛ 6000 ⎞
Rate of depreciation, r = 1 − ⎜ s ⎟ = 1− ⎜
⎝C ⎠ i
⎝ 20000 ⎟⎠
= 0.259 = 0.26

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Q.15 In a bank, 18 customers on the average are served by a cashier in an hour. If the service time has
exponential distribution, then the probability that a customer shall be free within 3 minutes, is _____ .

15. (0.593) (0.58 to 0.60)

Service rate, μ = 18 customer/hour
3 1
Time, t = 3 minutes = = hour
60 20
∴ Probability that a customer will be free within 3 minutes

1
−18 ×
= 1 − e −μt = 1 − e 20 = 1 − e −0.9

= 0.593

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Q.16 The following table contains information concerning four jobs that are awaiting processing at a work centre.

Job Job Time (days) Due Date(days)

A 14 20
B 10 16
C EA 7 15
D 6 17

Using shortest processing time (SPT) rule, Make span time to complete the job will be _____ days.

16. (37) (No range)

Sequence → D - C - B - A

Job Job Time Due Date Job flow time

D 6 17 0+6=6
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C 7 15 6 + 7 = 13
B 10 16 13 + 10 = 23
A 14 20 23 + 14 = 37
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∵ Make span time = 37 days

Multiple Choice Questions : Q.17 to Q.25 carry 2 marks each

Q.17 Which one of the following statements is not true for forecast error? (Symbol has it’s usual meaning)
n n
∑ Di − Fi ∑ (Di − Fi )
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i =1 i =1
(a) MAD = (b) Bias =
n n
n n
Di − Fi
∑ (Di − Fi )2 Di ∑ × 100
i =1 i =1
(c) MSE = (d) RSFE =
n n
17. (d)
n
RSFE = ∑ (Di − Fi )
i =1

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Q.18 In an airport, aeroplanes arrive at a rate of 30 aeroplanes per day. Assuming that the inter-arrival time
follows exponential distribuion and the service time distribution is also exponential with an average of
36 minutes. Then the probability that queue size exceeds 10 is
(a) 0.752 (b) 0.056
(c) 0.363 (d) 0.032

18. (b)
Given: λ = 30 trains per day

60 × 24
μ = = 40 trains per day
36

λ 30
System utilization, ρ = = = 0.75
μ 40

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∵ Probability that queue size exceed 10,
P(≥ 10) = ρ10 = (0.75)10
= 0.056

Q.19 A manufacturing company needs 4000 units of a particular component every year. The company buys it at
a rate of `40 per unit, the order processing cost for this part is estimated at `20 and the cost of carrying

(a) 10
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a part is `4 per year, then the optimum number of orders placed in a year is
(b) 40
(c) 30 (d) 20

19. (d)
Given, D = 4000 units
Co = `20 per order
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Ch = `4 per year

2DCo 2 × 4000 × 20
EOQ, Q* = =
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Ch 4

= 200 units

D 4000
Optimum number of orders = = = 20
Q* 200

Q.20 Queuing model normally represent as “Kendall and Lee” notation, in which third position represents
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(a) service rule (b) probability distribution

(c) size of system (d) number of server in the system.

20. (d)
“Kendall and Lee” notation → (a/b/c) : (d/e/f)
Where, a = Probability distribution of arrival pattern
b = Probability distribution of service pattern
c = Number of servers in the system
d = Service rule
e = Size of system
f = Size or capacity of calling population

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Q.21 In the simplex problem, a tie for leaving variable represents

(a) No solution (b) Unbounded solution
(c) Infinite solution (d) Degeneracy

21. (d)

Q.22 Consider the given project network, where numbers along various activities represent normal time. The
free float on activity 4-6 and the project duration, respectively, are
2
2 5

3 3

2 5 5
1 3 6 7

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2 4

(a) 2 and 13 (b) 0 and 13

(c) –2 and 13 (d) 2 and 12

22. (a)
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3

2
3
2
5

5
5

3 3
0 0 2 3
2 5 5
1 3 6 7 13 13

2 4 8 8

4
E
2 4

Critical path is 1 – 2 – 5 – 6 – 7
Project duration, tE = 3 + 2 + 3 + 5 = 13
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Free float (4 – 6) = 8 – 4 – 2 = 2
Q.23 The fixed cost for a production company is `600000 and the sales is of `2000000. The variable cost per
unit is `15. The selling price of each product is `40. What is the margin of safety for the sales at break-
even point?
(a) 40% (b) 60%
(c) 52% (d) 44%
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23. (c)
Given: F = `600000
v = `15
s = `40
At break even point (BEP),

F 600000
Number of units, x = = = 24000 units
s −v 25

Total sales − Sales at BEP 2000000 − (24000 × 40)

Margin of safety = =
Total sales 2000000
= 0.52 = 52%

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24 Which of the following statements is not true?

(a) Once the artificial variable leaves the basis, it will never enter again.
(b) We assign a large penalty “–M” to the artificial variables in the objective function.
(c) Artificial variables are those which are added to the constraint equations whenever we introduce a
surplus variable in order to get the initial feasible solution.
(d) Once the artificial variable leaves the basis, it will enter again.

24. (d)

25. Consider the following activity of a certain network:

21 39 40 58
tij = 19
1 2

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i j
⎧ ⎛ Independent float ⎞ ⎫
Then the value of ⎨Free float − ⎜ ⎟⎠ ⎬ = ____________
⎩ ⎝ Total float ⎭
(a) 0 (b) 1
(c) –1 (d) –2

25. (b)
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TF = LFT – EFT = 58 – 40 = 18
FF = {EFT – EST} – tij = 40 – 21 – 19 = 0
IF = {Ej – Li} – tij = {40 – 39} – 19 = – 18
IF ⎧ 18 ⎫
Now FF − = 0 − ⎨− ⎬ = 1
TF ⎩ 18 ⎭

Numerical Answer Type Questions : Q. 26 to Q. 33 carry 2 marks each

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Q.26 Average demand for an item is 100 unit/year. The lead time is 3 month and the demand during lead time
follows normal distribution with average of 15 units and standard deviation of 3 units. If the item is ordered
once in 4 months and the policy of the company is that there should not be more than 1 stock out every
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two years. The reorder level is _______ units. [Take z = 0.97]

26. (47.91
(47.91)) (46 to 48)
Given: LT = 3 months
d = 15 units
σ = 3 units
z = 0.97
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Safety stock (ss) = z·σ = 0.97 × 3 = 2.91

ROL = LT × d + ss = 3 × 15 + 2.91 = 47.91 units
Q.27 The costs to manufacture a part using methods A and B are estimated as C A = 6 + 0.8 P and
C B = 46 + 0.8 P – 0.004 P 2 respectively, where the cost C is in ` and P is number of parts, then
at break even point, number of parts will be __________ .
27. (100) (No range)
At breakeven point, CA = CB
6 + 0.8P = 46 + 0.8P – 0.004P 2
0.004P 2 = 40
40
P2 = = 10000
0.004
P = 100 parts
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28. Let F4 be the weighted average of the first three time series. If the values of the smoothing constant is 0.3,
then the ratio of last to most recent weightage to second last to most recent weightage is _________.

28. (0.428) (0.4 to 0.44)

α (1 − α ) 0.3 × 0.7 3
= = 0.428
( )( )
1 − α 1 − α =
0.7 × 0.7 7

Q.29 A repair shop attended by a single mechanic has an average of 4 customers per hour who bring small
appliances for repair. The mechanic inspects them for defects and repair. This takes 6 minutes on an
average. Arrivals are poisson and service time has exponential distribution, then the probability that the
shop is idle is _____ .

29. (0.6) (No range)

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Given: λ = 4 customers/hour

60
μ = = 10 customers/hour
6
λ 4
∵ ρ = = = 0.4
μ 10
Probability that the shop is idle,
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Po = 1 – ρ = 1 – 0.4
= 0.6

Q.30 Consider the following transportation table:

To A B C Supply
From
6 8 10
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1 150

2 7 11 11 175

3 4 5 12 275
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Demand 200 100 300 600

The initial solution as per minimum cell cost method will be ` _____

30. (4550) (No range)

6 8 10
150
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25 125
7 11 11
175
175

4 5 12
275
200 75
200 100 300
Total cost of initial solution:
4 × 200 + 8 × 25 + 5 × 75 + 10 × 125 + 11 × 175 = ` 4550

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Q.31 In a PERT analysis, project schedule time to complete is 60 weeks and the expected time to complete the
project is 54 weeks. Then variance to complete the project with a probability of 95%, is _____ weeks.
[Probability factor for 95% = 1.647]

31. (13.25) (13 to 14)

Given, TS = 60 weeks
TE = 54 weeks
Z = 1.647
Variance, σ2 = ?
TS − TE 6
σ = = = 3.64
Z 1.647
σ 2 = 13.25 weeks

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Q.32 For the given problem,
Maximum, Z = 2x1 + 3x2
Subject to constraints
x1 + x2 ≤ 1
3x1 + x2 ≤ 4
x1, x2 ≥ 0

Then the value of max. Z is ________ .

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32. (3) (No range)
x1 x2
+ = 1 ... (i)
1 1
x1 x
+ 2 = 1 ... (ii)
(4 / 3) 4
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x2

A(1, 0)
4
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C
B(0, 1)
3 C(0, 4)

2 D(1.33, 0)

B
1
A D
x1
1 2 3 4
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Since, CD is a redundant line.

For maximization,
A(1, 0) → Z = 2 × 1 + 3 × 0 = 2
B(0, 1) → Z = 2 × 0 + 3 × 1 = 3
Max. Z = 3

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Q.33 An equipment costs `26000 to purchase now. It will be used continuously for 6 years. At the end, its
salvage value is estimated to be `2000. It’s residual book value at the beginning for the 5th year of it’s use,
by the straight line method of depreciation is `_____ .

33. (18000) (No range)

Cost price − Salvage value 26000 − 2000

Annual depreciation = =
Time (in years) 6

= `4000
Book value = Original cost – Cumulative depreciation upto the year under consideration
= 26000 – 4 × 2000 [Since beginning of 5th year ⇒ 4 completed year]
= `18000

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AD
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