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Production and Operations Management Multiple Choice Questions and Answers | Production and Operations Management MCQs

(1) The term ––––––––– implies the foregone profit due to inability of company to produce.
[A] Opportunity cost
[B] Marginal cost
[C] Overhead cost
[D] All of the above
Answer: Opportunity cost
(2) OC curve of ideal sampling plan suggests that all lots less than 3% defectives have the probability of acceptance of –––––––––.
[A] 0.25
[B] 0.5
[C] 0.75
[D] 1
Answer: 1
(3) Which of the following are the objectives of a good maintenance system?
[A] Minimisation of wear and tear of machines
[B] Ensuring maximum plant availability
[C] Both (A) and (B)
[D] None of the above
Answer: Both (A) and (B)
(4) Inherent Safety' is one of the principle of good layout. In context of layout, this can be achieved by the following
[A] Clear gangway
[B] Location of material and material handling system
[C] Both (A) and (B)
[D] None of the above
Answer: Both (A) and (B)
(5) In case of an OC curve, the risk of rejecting a good quality lot may vary between –––––––––.
[A] 0.01 to 5%
[B] 0.01 to 10%
[C] 0.01 to 15%
[D] 0.01 to 20%
Answer: 0.01 to 10%
(6) How does 'structure' reduce external uncertainty arising out of human behaviour
[A] Research and planning
[B] Forecasting
[C] both (A) and (B)
[D] none of the above
Answer: both (A) and (B)
(7) Inadequate production capacity ultimately leads to
[A] Poor quality
[B] Poor Customer Service
[C] Poor inventory control
[D] All of the above
Answer: Poor Customer Service
(8) What do you understand by the inspection conducted on all non reworkable jobs prior to their movement to the scrap yard?
[A] Final inspection
[B] Endurance inspection
[C] Functional inspection
[D] Salvage inspection
Answer: Salvage inspection
(9) A/An ––––––––– history card is the record of all repairs, replacements and engineering changes carried out in the equipment during it's period of service.
[A] Service
[B] Equipment
[C] Repair
[D] None of the above
Answer: Equipment
(10) Which of the following are assignable cause?
[A] Large variations in hardness of material
[B] Tool wear
[C] Errors in setting
[D] All of the above
Answer: All of the above