Review

ch8s

Student: ___________________________________________________________________________

1. The transportation model assumes similar, homogeneous goods.

True False

2. The transportation model assumes shipping cost per unit is the same regardless of the number of units shipped (there are no quantity discounts).

True False

3. The transportation model is a special type of linear regression model.

True False

4. For a transportation model to be used, more than one location must be considered.

True False

5. The linear programming model of a transportation problem has one goal - the maximization of its objective function.

True False

6. Dummy rows or columns to equate supply and demand are available but not required in linear programming models of transportation problems.

True False

7. The transportation model method for evaluating location alternatives minimizes total:

A. sources

B. destinations

C. capacity

D. demand

E. shipping cost

8. An automobile manufacturer that has eight assembly plants and thousands of dealers throughout the United States can find the optimal distribution plan by using:

A. linear programming model

B. transportation model

C. weighted factor rating

D. either A or B

E. Global Information Systems

9. Which of the following is not information needed to use the transportation model?

A. capacity of the sources

B. demand of the destinations

C. unit shipping costs

D. unit shipping distances

E. all of the above are necessary

10. The transportation method is a linear programming technique. Linearity is present in the following way:

A. The cost of goods shipped from any source to any destination is a linear function of quantity shipped.

B. The cost of goods shipped from any source to any destination is a linear function of the cost per unit.

C. The total cost associated with a given plan is a linear function of shipping costs.

D. Cell evaluations require linear...