BTECH: PROJECT MANAGEMENT

OPERATIONAL RESEARCH 4 (OPP400S)

Chapter 1 and 2 Tutorial Questions

Question Refer to: Render, Barry et al Quantitative Analysis for Management.
12th Edition, Pearson Prentice Hall
1-22 Golden Age Retirement Planners specializes in providing financial advice for people planning
for a
comfortable retirement. The company offers seminars on the important topic of retirement
planning.
For a typical seminar, the room rental at a hotel is $1,000, and the cost of advertising and other
incidentals
is about $10,000 per seminar. The cost of the materials and special gifts for each attendee is $60
per person attending the seminar. The company charges $250 per person to attend the seminar
as this
seems to be competitive with other companies in the same business. How many people must
attend each
seminar for Golden Age to break even?

2-16 An urn contains 8 red chips, 10 green chips, and 2 white chips. A chip is drawn and replaced,
and
then a second chip drawn. What is the probability of
(a) a white chip on the first draw?
(b) a white chip on the first draw and a red on the second?
(c) two green chips being drawn?
(d) a red chip on the second, given that a white chip was drawn on the first?
2-17 Evertight, a leading manufacturer of quality nails, produces 1-, 2-, 3-, 4-, and 5-inch nails for
various
uses. In the production process, if there is an overrun or the nails are slightly defective, they are
placed in
a common bin. Yesterday, 651 of the 1-inch nails, 243 of the 2-inch nails, 41 of the 3-inch nails,
451 of
the 4-inch nails, and 333 of the 5-inch nails were placed in the bin.
(a) What is the probability of reaching into the bin and getting a 4-inch nail?
(b) What is the probability of getting a 5-inch nail?
(c) If a particular application requires a nail that is 3 inches or shorter, what is the probability of
getting a nail that will satisfy the requirements of the application?
2-31 What are the expected value and variance of the following probability distribution?

2-37 An industrial oven used to cure sand cores for a factory manufacturing engine blocks for
small cars
is able to maintain fairly constant temperatures. The temperature range of the oven follows a
normal
distribution with a mean of 450F and a standard deviation of 25F. Leslie Larsen, president of
the factory, is concerned about the large number of defective cores that have been produced in
the past
several months. If the oven gets hotter than 475F, the core is defective.
What is the probability that the oven will cause a core to be defective?
What is the probability that the temperature of the oven will range from 460 to 470F?
2-41 The time to complete a construction project is normally distributed with a mean of 60 weeks
and a
standard deviation of 4 weeks.
(a) What is the probability the project will be finished in 62 weeks or less?
(b) What is the probability the project will be finished in 66 weeks or less?
(c) What is the probability the project will take longer than 65 weeks?
2-47 Market Researchers, Inc., has been hired to perform a study to determine if the market for a
new product
will be good or poor. In similar studies performed in the past, whenever the market actually was
good, the
market research study indicated that it would be good 85% of the time. On the other hand,
whenever the market actually was poor, the market study incorrectly predicted it would be good
20% of the time. Before the study is performed, it is believed there is a 70% chance the market
will be good. When Market Researchers, Inc. performs the study for this product, the results
predict the market will be good.
Given the results of this study, what is the probability that the market actually
will be good?