a) Explain four problems with the argument that trade protection is needed to protect American jobs. b) Describe the economic reasons why businesses use offshoring.

a) Identify the four major tools of monetary policy. b) Describe how changes in the Fed’s major policy tools leads to [1] expansionary and [2] restrictive or contractionay monetary policies.

Given below is selected information about two companies.

Company A Company B
Sales $10,000 $10,000
Fixed Costs 4,000 7,000
Variable Costs 5,000 2,000

a. Calculate net income for each company.

b. What is operating leverage? Is it present in the operations of these two companies? If so, which company uses the greater amount of operating leverage?

c. If sales decrease by 10%, which company will report the higher net income?

d. If sales increase by 10%, which company will report the higher net income?

Linear regression sales forecasting techniques:
A. work best when future sales are randomly distributed
B. will not work for declining sales
C. work best when sales are increasing
D. will not work if future sales forecasts lie on a curve

__________ is when the activities in the stage must stop because there is no place to deposit the item just completed

A. Buffering
B. Blocking
C. Starving
D. Pacing

According to your text, the most common process metric is

A. productivity
B. efficiency
C. utilization
D. throughput time

Declining product prices

A. increase the manufacturing costs
B. lower the break-point
C. result in lower manufacturing costs
D. increase the break-even point

The type of processing structure that is used for producing discrete products at a controlled rate is

A. job shop
B. batch
C. assembly line
D. project

The best process flow structure to use for making automobiles is

A. job shop
B. batch shop
C. group technology cell
D. assembly line

The break-even analysis is a standard approach to determine alternative processes A break-even analysis chart usually present alternative __________ and __________ based upon the units produced or sold.

A. demand, supply
B. profits, losses
C. equipment, materials
D. variable, fixed costs

A statistical term that refers to the philosophy and methods companies use to eliminate defects in their products and processes by establishing a quality goal of no more than four defects out of every million units is __________.

A. ISO 9000
B. Six Sigma
C. Total Quality Management
D. SERVQUAL

Independent demand is

A. inventory where demand comes from independent suppliers
B. inventory that is independent of any known rules of demand and supply
C. demand that is related to the demand for another item
D. demand determined by the marketplace that requires forecasting

An inventory system designed to ensure that an item will be available on an ongoing basis throughout the year is known as

A. Optional Replenishment System
B. Inventory Accuracy and Cycle Counting
C. ABC Inventory Planning
D. Multiperiod Inventory Systems

A/an __________ approach actually schedules in detail each resource using the setup and runtime required for each order.

A. infinite loading
B. finite loading
C. forward scheduling
D. backward scheduling

Independent demand is
A. inventory where demand comes from independent suppliers
B. inventory that is independent of any known rules of demand and supply
C. demand that is related to the demand for another item
D. demand determined by the marketplace that requires forecasting

A/an __________ approach actually schedules in detail each resource using the setup and runtime required for each order.
A. infinite loading
B. finite loading
C. forward scheduling
D. backward scheduling

According to Hau Lee, which of the following types of products need to be delivered with efficient supply-chains?
A. Custom products
B. Innovative products
C. Grocery products
D. High technology products

The objective of __________ is to provide an approach for determining the overall capacity level of capital-intensive resources that best supports the company’s long-range competitive strategy.
A. workforce management
B. management supervision
C. operations management
D. strategic capacity planning

Lean production systems typically require
A. delivery of large lots at frequent intervals
B. buyer inspection of goods and materials
C. multiple sources from which to purchase
D. low inventory levels throughout production

Given that the previous forecast of 65 turned out to be four units less than the actual demand; the next forecast is 66. What would be the value of alpha if the simple exponential smoothing forecast method is being used?
A. 002
B. 04
C. 004
D. 025

A system that aids customer and supplier communication by linking together supplier and customer information systems is referred to as:
A. Computer data transfer
B. Data interchange
C. Electronic data interchange
D. CPU data interchange
E. Electronically generated data transfer

From a quality perspective, an interesting variation of the value chain is the concept of the:
A. progression of value
B. sequence of patrons
C. chain of customers
D. sequence of value
E. string of value

According to a free-market model competition among suppliers:
A. drives costs lower and quality lower
B. drives costs higher and quality higher
C. drives costs lower and quality higher
D. have no effect on cost and quality
E. drives costs higher and quality lower

A tool used by many firms to differentiate and discriminate among suppliers is called:
A. provider assessment
B. supplier evaluation
C. supplier appraisal
D. provider appraisal
E. partner assessment

Single sourcing:
A. decreases the number of suppliers a firm uses
B. has no effect on the number of suppliers a firm uses
C. increases the number of suppliers a firms uses in manufacturing but decreases the number of suppliers a firm uses in services
D. increases the number of suppliers a firm uses
E. increases the number of suppliers a firm uses in services industries but decreases the number of suppliers a firm uses in manufacturing