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Dms 201 Operations Research I Question Paper

Dms 201 Operations Research I

Course:Diploma In Business Management

Institution: Kca University question papers

Exam Year:2014

UNIVERSITY EXAMINATIONS: 2013/2014
STAGE V ORDINARY EXAMINATION FOR THE DIPLOMA IN
BUSINESS MANAGEMENT
DMS 201 OPERATIONS RESEARCH I
DATE: APRIL 2014
TIME: 1 1/2 Hours
INSTRUCTION: Answer any THREE questions
QUESTION ONE: (20 MARKS)
a) In LP define the following terms;
(i)
Optimality condition
(ii)
Feasibility condition
b) State the major phases of operation research project.
c) Find the optimal solution using simplex method in the following LP model.
(2 Marks)
(2 Marks)
( 6 Marks)
MAX Z = 40X+32Y
S/to
40x+20y=800
10x+10y=300
16y=400
X,y=0
(10 Marks)
QUESTION TWO: (20 MARKS)
a) Write up a general form of a transportation model.
b) The following data relates to shipping data for P & T Company.
(5 Marks)
Warehouse
cannery 1
2
1 464 2 352 416 690 791 125
3 995 682 388 685 100
allocation 80 65 70 85
513
3
4
654
867
output
75
Minimize the shipping cost using the Vogel s Approximation method.
(13 Marks)
c) How would you deal with unequal sources and destination in transportation problems?
( 2 Marks)
QUESTION THREE: (20 MARKS)
a) Discuss some of the important benefits of inventory control system.
b) Using the following information ;
(5 Marks)
Demand per month = 50 units
Price per unit
=6
Ordering cost per order=10
Inventory carrying cost=20%
Find:
i.
ii.
iii.
iv.
EOQ
Total inventory cost
Time interval between two consecutive orders
Number of orders
( 15 Marks)
QUESTION FOUR: (20 MARKS)
a) Define the following terms as used in network analysis;
i. Total float
ii. Free float
iii. Critical path
(3 Marks)
b) A small project is composed of seven activities whose time estimates are given in the
following table:
Activity
Event
Event
Time required (days)
Name of activity
optimistic
most likely
pessimistic
1- 2 A 6 6 24
1- 3 B 6 12 18
1- 4 C 12 12 30
2- 5 D 6 6 6
3- 5 E 12 30 48
4- 6 F 12 30 42
5- 6 G 18 30 54
i.
ii.
Find the expected duration and variance for each activity.
Calculate the variance and standard deviation of the project length.
(13 Marks)
(4 Marks)
QUESTION FIVE: (20 MARKS)
a) Briefly describe the elements of a queuing system
( 8 Marks)
b) A certain type of machines breakdown at an average rate of 5 per hour. The breakdowns are
in accordance of Poisson process. Cost of idle machine hour comes to $15 per hour. Two
repairmen A and B have been interviewed-A charges $8 per hour and he services breakdown
machines at the rate of 7 per hour whereas B charges $10 per hour and he services the said
machines at an average rate of 9 per hour. Which repairman services should be used and
why?(Assume that the work shift is of 8 hours)
(12 Marks)

Dms 201 Operations Research I Question Paper

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