MCQ QUESTIONS OPTIMIZATION TECHNIQUES

1. The assignment problem is a special case of 6-In the Hungarian Method, if the number of
which of the following? rows and columns are not equal, you should:
A. Linear Programming Problem A. Solve it as it is
B. Transportation Problem B. Use simplex method
C. Goal Programming C. Add dummy row or column to balance
D. Simulation D. Multiply all values by −1

Answer: B. Transportation Problem Answer: C. Add dummy row or column to

balance
2-In an assignment problem, the number of
rows is equal to: 7-The cost matrix used in assignment
A. The number of tasks problems is:
B. The number of resources A. Always symmetric
C. The minimum of tasks and resources B. A square matrix
D. The number of constraints C. A diagonal matrix
D. A triangular matrix
Answer: A. The number of tasks (or jobs)
Answer: B. A square matrix
3-The objective of the assignment problem is
to: 8. In a maximization assignment problem, to
A. Maximize profit apply the Hungarian method, one should:
B. Minimize total cost or time A. Subtract all values from maximum value in
C. Minimize the number of assignments the matrix
D. Maximize the number of jobs assigned B. Subtract all values from minimum value
C. Add all values
Answer: B. Minimize total cost or time D. Multiply all values by zero

4-The method used to solve an assignment Answer: A. Subtract all values from maximum
problem is called: value in the matrix
A. Simplex Method
B. Vogel’s Approximation Method 9-Degeneracy in assignment problem occurs
C. Hungarian Method when:
D. Dual Simplex Method A. Two assignments are made in the same row
B. Optimal solution is not found
Answer: C. Hungarian Method C. Total number of assignments is less than the
number of rows
5-If the number of jobs is not equal to the D. There are multiple optimal solutions
number of workers, the problem is said to be:
A. Balanced Answer: C. Total number of assignments is less
B. Symmetric than the number of rows
C. Unbalanced
D. Degenerate

Answer: C. Unbalanced
10-In the assignment problem, which 15-In a balanced assignment problem, the
condition must be satisfied for optimal number of rows is equal to the number of:
assignment? A. Zeros in the matrix
B. Constraints
A. Every row must have at least one zero
C. Columns
B. Each row and each column must have exactly D. Assignments made
one assignment
C. All elements must be zero Answer: C. Columns
D. Total cost must be zero
16-In a balanced assignment problem, the
Answer: B. Each row and each column must number of rows is equal to the number of:
have exactly one assignment A. Zeros in the matrix
B. Constraints
11-The assignment problem can be solved in: C. Columns
A. Only maximization form D. Assignments made
B. Only minimization form
Answer: C. Columns
C. Both maximization and minimization form
D. Only if costs are integers 17-When converting a maximization
assignment problem to a minimization one,
Answer: C. Both maximization and
we usually:
minimization form
A. Multiply by −1
12-What is the time complexity of the B. Subtract all elements from the highest value
Hungarian Algorithm? in the matrix
A. O(n) C. Add all elements to the lowest value
B. O(n²) D. Use the primal-dual method
C. O(n³)
D. O(n log n) Answer: B. Subtract all elements from the
highest value in the matrix
Answer: C. O(n³)
18-The assignment problem is used in:
A. Network design
13-Which of the following is not a valid step B. Transportation routing
in the Hungarian method? C. Job scheduling
A. Row reduction D. Linear regression
B. Column reduction
C. Matrix inversion
Answer: C. Job scheduling
D. Covering zeros
19-In the assignment problem, the number of
Answer: C. Matrix inversion
optimal solutions may be:
14-Dummy rows or columns in an assignment A. Only one
problem are used to: B. At most two
A. Reduce the cost C. Infinite
B. Balance the problem D. One or more
C. Maximize assignments
D. Eliminate constraints
Answer: D. One or more
Answer: B. Balance the problem
20-Which of the following is not a 25An assignment problem can be considered
characteristic of the assignment problem? a type of:
A. One-to-one allocation A. Dynamic programming problem
B. Square cost matrix
B. Network flow problem
C. Multiple assignments per task
D. Minimization or maximization objective C. Linear programming problem
D. Queuing model
Answer: C. Multiple assignments per task
Answer: C. Linear programming problem
21-In an assignment problem, a dummy row
is added when: 26-The transportation problem is a type of:
A. There are more tasks than agents
A) Assignment problem
B. There are more agents than tasks
B) Network problem
C. Total cost is too high C) Linear programming problem
D. To avoid degeneracy D) Simulation problem

Answer: B. There are more agents than tasks Answer: C) Linear programming problem

22-The optimal solution to an assignment 27-The main objective of a transportation

problem: problem is to:
A. Always exists for balanced problems
B. May not exist A) Maximize profits
C. Exists only for maximization problems B) Minimize transportation cost
D. Can’t be found using Hungarian method C) Maximize transportation
D) Equalize supply and demand
Answer: A. Always exists for balanced
problems Answer: B) Minimize transportation cost

23-Which of the following is a common 28-In a balanced transportation problem:

application of the assignment problem?
A. Power flow optimization A) Supply > Demand
B. Assigning jobs to machines B) Supply < Demand
C. Inventory control C) Supply = Demand
D. Demand forecasting D) None of the above

Answer: C) Supply = Demand

Answer: B. Assigning jobs to machines
29-Which of the following methods is used to
24A feasible solution in an assignment find an initial feasible solution?
problem must:
A. Have equal number of zeros in every row A) Simplex Method
B. Assign each task to one agent only B) Stepping Stone Method
C. Maximize only one cell C) North-West Corner Method
D. Assign all zeros to one column D) Branch and Bound Method

Answer: B. Assign each task to one agent only Answer: C) North-West Corner Method
30-Which of these methods provides an 34-The stepping stone method is used to:
optimal solution?
A) Find the initial feasible solution
A) North-West Corner Rule B) Find the optimal solution
B) Least Cost Method C) Check for degeneracy
C) Vogel’s Approximation Method D) None of the above
D) MODI (Modified Distribution) Method
Answer: B) Find the optimal solution
Answer: D) MODI (Modified Distribution)
Method 35-A transportation problem is said to be
unbalanced if:
31-The penalty in Vogel’s Approximation
Method is calculated by: A) The total supply equals total demand
B) The total supply is greater than total demand
A) Subtracting the smallest cost from the largest C) The total supply is less than total demand
B) Adding the two smallest costs D) Either of supply or demand is zero
C) Subtracting the smallest cost from the next
smallest Answer: D) Either of supply or demand is zero
D) Subtracting the two smallest costs in a row or
column 36-In the transportation problem, the
number of basic variables in a feasible
Answer: D) Subtracting the two smallest costs solution is:
in a row or column
A) m × n
32-If a transportation problem has ‘m’ B) m + n
sources and ‘n’ destinations, the number of C) m + n - 1
basic variables in a basic feasible solution is: D) m - 1

A) m + n Answer: C) m + n – 1
B) m × n
C) m + n - 1 37-In the least cost method, the first
D) m - n + 1 allocation is made to the cell with:

Answer: C) m + n - 1 A) Maximum cost

B) Minimum cost
33-A transportation problem is said to be C) Maximum supply
degenerate if: D) Maximum demand

A) Supply equals demand Answer: B) Minimum cost

B) Number of allocations is less than m + n - 1
C) Cost is zero 39-When using the North-West Corner Rule,
D) Demand is zero the first allocation is made at:

Answer: B) Number of allocations is less than A) The top-left corner

m+n-1 B) The bottom-right corner
C) The top-right corner
D) The bottom-left corner

Answer: A) The top-left corner

40-The objective of the transportation 44-Which of the following methods ensures
problem is to minimize: an optimal solution by checking the
opportunity cost in each cell?
A) The total number of shipments
B) The total transportation cost A) Stepping Stone Method
C) The total distance traveled B) Least Cost Method
D) The total time required C) North-West Corner Method
D) Vogel’s Approximation Method
Answer: B) The total transportation cost
Answer: A) Stepping Stone Method
41-Which of the following methods is used to
check for the optimality of a transportation 45-The North-West Corner Method is
solution? considered a:

A) North-West Corner Method A) Non-iterative method

B) Least Cost Method B) Iterative method
C) MODI Method C) Mixed method
D) Simplex Method D) Heuristic method

Answer: C) MODI Method Answer: A) Non-iterative method

42-In the transportation problem, which of 46-The least cost method of finding the initial
the following methods provides an initial basic feasible solution involves:
feasible solution by minimizing the total
transportation cost? A) Allocating to the cells with the lowest supply
B) Allocating to the cells with the lowest
A) Least Cost Method demand
B) North-West Corner Method C) Allocating to the cells with the lowest cost
C) Vogel’s Approximation Method D) Allocating to the cells in the North-West
D) All of the above corner

Answer: A) Least Cost Method Answer: C) Allocating to the cells with the
lowest cost
43-In the transportation problem, a solution
is said to be optimal if: 47-Which of the following is true about a
degenerate transportation solution?
A) The total transportation cost is minimized
B) All supply constraints are satisfied A) The solution has no optimal allocation
C) All demand constraints are satisfied B) The number of basic variables exceeds m + n
D) All of the above -1
C) All supply and demand constraints are
Answer: D) All of the above violated
D) The solution always results in maximum
transportation cost

Answer: B) The number of basic variables

exceeds m + n - 1
48-Which of the following methods can be 52-The optimal value of the objective function
used to solve the transportation problem in an LPP is attained at:
optimally?
a) Intersection points of lines representing
A) North-West Corner Method inequalities with axes only
B) Least Cost Method b) Intersection points of lines representing
C) Modified Distribution Method (MODI) inequalities with the X-axis only
D) All of the above c) Corner points of the feasible region
d) The origin
Answer: C) Modified Distribution Method
(MODI) Answer: c) Corner points of the feasible region

49-The MODI Method is an iterative process 53-A feasible solution to an LPP:

that helps:
a) Must satisfy all of the problem’s constraints
A) Improve the current solution by checking for simultaneously
optimality b) Need not satisfy all of the constraints, only
B) Find the initial feasible solution some of them
C) Calculate the transportation cost c) Must be a corner point of the feasible region
D) None of the above d) Must optimize the value of the objective
function
Answer: A) Improve the current solution by
checking for optimality Answer: a) Must satisfy all of the problem’s
constraints simultaneously
50-In case of degeneracy, we add:
54-In the standard form of a Linear
A) An artificial destination Programming Problem:
B) A very small value ε in a closed loop
C) A penalty cost a) Constraints are given by inequalities of any
D) A large value to discourage use type
b) Constraints are given by a set of linear
Answer: B) A very small value ε in a closed equations
loop c) Constraints are given only by inequalities of ≥
type
51-The objective function of a Linear d) Constraints are given only by inequalities of
Programming Problem (LPP) is: ≤ type

a) A constant Answer: b) Constraints are given by a set of

b) A function to be optimized linear equations
c) An inequality
d) A quadratic equation 55-A Linear Programming Problem can
have:
Answer: b) A function to be optimized .
a) No solution
b) Exactly one solution
c) Infinitely many solutions
d) All of the above

Answer: d) All of the above

 60-In Linear Programming, the condition to
be satisfied is:
56-Linear programming is a:
a) Constraints have to be linear
a) Constrained optimization technique b) Objective function has to be linear
b) Technique for economic allocation of limited c) Both a and b
resources d) None of the above
c) Mathematical technique
d) All of these Answer: c) Both a and b

Answer: d) 61-The graphical method for solving a linear

programming problem is applicable when:
57-All of theseA constraint in an LP model
restricts: a) There is only one decision variable
b) There are two decision variables
a) Value of the objective function c) There are three decision variables
b) Value of a decision variable d) There are more than three decision variables
c) Use of the available resource
d) All of these Answer: b) There are two decision variables

Answer: d) All of these 62-In the graphical method, the optimal

solution of a linear programming problem is
58-In a Linear Programming problem, the found at:
restrictions or limitations under which the
objective function is to be optimized are a) The center of the feasible region
called: b) Any point within the feasible region
c) A corner point (vertex) of the feasible region
a) Constraints d) The intersection of the objective function and
b) Objective function the X-axis
c) Decision variables
d) None of the above Answer: c) A corner point (vertex) of the
feasible region
Answer: a) Constraints
63-The feasible region in a linear
59-Which of the following is true for a programming problem represents:
degenerate solution in Linear Programming?
a) All possible solutions
a) The objective function value increases b) Only the optimal solutions
infinitely c) Solutions that satisfy all constraints
b) Basic variables are all non-zero d) Solutions that do not satisfy the constraints
c) One or more basic variables are zero
d) The solution is infeasible Answer: c) Solutions that satisfy all constraints

Answer: c) One or more basic variables are zero

64-If the feasible region is unbounded in a 68-In the graphical method, the area where
maximization problem, then: all constraints overlap is called:

a) The optimal solution always exists a) The solution space

b) There is no optimal solution b) The feasible region
c) The solution may or may not exist c) The optimal region
d) The problem is infeasible d) The infeasible region

Answer: c) The solution may or may not exist Answer: b) The feasible region

65-In the graphical method, to find the 69-If the feasible region does not exist, the
optimal value of the objective function, one linear programming problem is said to be:
should:
a) Unbounded
a) Evaluate the objective function at each corner b) Degenerate
point of the feasible region c) Infeasible
b) Evaluate the objective function at the center d) Redundant
of the feasible region
c) Evaluate the objective function at any random Answer: c) Infeasible
point within the feasible region
d) Evaluate the objective function at the 70-In the graphical method, the objective
intersection of the constraints function is represented by:

Answer: a) Evaluate the objective function at a) A point

each corner point of the feasible region b) A line
c) A curve
66-In the graphical method, if two constraints d) A region
intersect, the point of intersection represents:
Answer: b) A line
a) A feasible solution only if it satisfies all other
constraints 71-The Simplex method is primarily used to
b) An optimal solution solve:
c) An infeasible solution
d) A redundant constraint a) Non-linear programming problems
b) Linear programming problems
Answer: a) A feasible solution only if it c) Integer programming problems
satisfies all other constraints d) Dynamic programming problems

67-If the feasible region is bounded and the Answer: b) Linear programming problems
objective function is parallel to one of the
constraints, then:

a) There is no optimal solution

b) There are multiple optimal solutions
c) The optimal solution is at the origin
d) The problem is infeasible

Answer: b) There are multiple optimal solutions

72-In the Simplex method, if all the entries in 76-In the Simplex method, slack variables are
the pivot column are negative or zero when introduced to:
choosing the leaving variable, then the solution
is: a) Convert inequalities into equalities for '≤'
constraints
a) Degenerate b) Convert inequalities into equalities for '≥'
b) Infeasible constraints
c) Alternative optimal c) Eliminate variables
d) Unbounded d) Optimize the objective function

Answer: d) Unbounded Answer: a) Convert inequalities into equalities

for '≤' constraints
73-Degeneracy in the Simplex method occurs
when: 77- The main objective of sequencing
problems is to:
a) There are no constraints, leading to unlimited A) Minimize the number of machines used
solutions B) Minimize the total processing time
b) All coefficients in the objective function row C) Maximize the idle time of machines
are negative, indicating optimality D) Increase the number of jobs completed
c) The pivot element cannot be found, leading to
no feasible solution Correct Answer: B) Minimize the total
d) A basic variable's value becomes zero, processing time
possibly leading to cycling
78-Johnson’s rule is used for sequencing:
Answer: d) A basic variable's value becomes A) Two jobs and multiple machines
zero, possibly leading to cycling B) One job and two machines
C) Two machines and multiple jobs
74-A solution to a linear programming D) Multiple jobs and multiple machines
problem is considered infeasible in the
Simplex method when: Correct Answer: C) Two machines and
multiple jobs
a) All variables in the entering column are
negative 79- In Johnson’s algorithm, if the smallest
b) Variables in the basis are negative processing time is on the first machine, the
c) An artificial variable is present in the basis job is scheduled:
d) The pivotal value is negative A) Last
B) Anywhere
Answer: c) An artificial variable is present in C) First
the basis D) After all other jobs

75-The method used to solve Linear Correct Answer: C) First

Programming Problems without the use of
artificial variables is called: 80-Which of the following is not a basic
assumption in sequencing problems?
a) Simplex Method A) Each job is processed only once on each
b) Big-M Method machine
c) Dual Simplex Method B) No job is preempted during processing
d) Graphical Method C) Machines are continuously available
D) Jobs can be processed in parallel on the same
Answer: c) Dual Simplex Method machine
Correct Answer: D) Jobs can be processed in 85-The Gantt chart is used in sequencing to:
parallel on the same machine A) Determine shortest route
B) Visualize job processing over time
81-In Johnson's algorithm for 2 machines, if C) Solve linear programming problems
there is a tie between the smallest processing
D) Assign workers to machines
times on both machines, the job should be
scheduled:
A) At the end Correct Answer: B) Visualize job processing
B) At the beginning over time
C) In the middle
D) Randomly 86-The Critical Ratio (CR) rule is calculated
as:
Correct Answer: B) At the beginning A) Processing time ÷ Due date
B) Due date ÷ Processing time
82-The total elapsed time in sequencing refers C) (Due date – Current time) ÷ Remaining
to: processing time
A) The time from the start of the first job to the
D) Remaining processing time ÷ Due date
finish of the last job
B) The sum of all job processing times
C) The time taken by the job with the longest Correct Answer: C) (Due date – Current time)
processing time ÷ Remaining processing time
D) The average time each machine is in use
87--The Johnson’s algorithm for 3 machines
Correct Answer: A) The time from the start of (A, B, C) is applicable when:
the first job to the finish of the last job. A) The maximum time on machine B ≥
minimum time on A and C
83--In sequencing, idle time refers to: B) All jobs have equal processing times
A) Time when machines are working at half
C) Machine C is faster than machine A
capacity
B) Time when jobs are queued D) All jobs are assigned randomly
C) Time when a machine is not processing any
job Correct Answer: A) The maximum time on
D) Time taken for job transportation machine B ≥ minimum time on A and C

Correct Answer: C) Time when a machine is 88-The performance measure that indicates
not processing any job the average time a job spends in the system
is:
84-In sequencing problems, if the number of A) Makespan
jobs is n and number of machines is m, the B) Flow time
C) Idle time
total number of possible sequences is: D) Tardiness
A) n!
B) m! Correct Answer: B) Flow time
C) (n + m)!
D) n × m 89-In sequencing, throughput refers to:
A) Number of machines used
Correct Answer: A) n! B) Total time to complete one job
C) Number of jobs completed per unit time
D) Number of jobs delayed
Correct Answer: C) Number of jobs completed 94-In job sequencing, which rule may lead to
per unit time starvation of long jobs?
A) SPT
90-If all jobs have the same processing time, B) FCFS
which rule gives the same schedule as EDD? C) EDD
A) SPT D) CR
B) FCFS
C) CR Correct Answer: A) SPT
D) LPT
95-When minimizing the sum of completion
Correct Answer: A) SPT times, which rule is optimal?
A) EDD
91-Which of the following is not an B) SPT
assumption in Johnson’s algorithm? C) CR
A) No passing of jobs is allowed D) LPT
B) Jobs are independent
C) Only one job can be processed at a time on a Correct Answer: B) SPT
machine
D) Processing times are uncertain 96--If all jobs are equally important and due
dates are irrelevant, the best sequencing rule
Correct Answer: D) Processing times are is likely:
uncertain A) SPT
B) FCFS
92-Which of the following is most suitable C) EDD
when processing times vary significantly D) LPT
between jobs?
A) FCFS Correct Answer: A) SPT
B) SPT
C) EDD 97-Which of the following sequencing models
D) LPT can be used when there are more than two
machines and each job must pass through all
Correct Answer: B) SPT – it helps minimize machines in the same order?
average flow time and delay.
A) Assignment model
B) Flow shop model
93-In a two-machine sequencing problem
C) Transportation model
using Johnson’s Rule, if a job has the same
D) Job shop model
processing time on both machines, it can be
scheduled:
Correct Answer: B) Flow shop model
A) First
B) Last 98-The key difference between job shop and
C) Anywhere flow shop scheduling is:
D) Must be dropped A) Number of machines used
B) Flexibility in job routing
Correct Answer: C) Anywhere
C) Job priorities
D) Processing times

Correct Answer: B) Flexibility in job routing

99-In a sequencing problem, when no optimal 104-The value of the game in a two-person
rule applies directly, a commonly used zero-sum game represents:
method is:
A) Linear regression A. The loss of the losing player
B) Critical path analysis B. The profit of the winner
C) Branch and bound C. Expected payoff under optimal strategies
D. Average of all possible payoffs
D) Johnson’s algorithm
Answer: C
Correct Answer: C) Branch and bound
105-A strategy that always gives the best
100-A Gantt chart helps with:
payoff regardless of the opponent’s strategy is
A) Maximizing profits
B) Drawing decision trees called:
C) Visualizing schedule timelines
D) Calculating shortest path A. Dominated Strategy
B. Saddle Point Strategy
Correct Answer: C) Visualizing schedule C. Dominant Strategy
timelines D. Pure Strategy

101-In sequencing, the slack time of a job is: Answer: C

A) Processing time – due date
B) Due date – current time 106-If a game has no saddle point, then:
C) Due date – remaining processing time
A. The game is unsolvable
D) Remaining processing time – due date B. Mixed strategy is used
C. Value of the game is zero
Correct Answer: C) Due date – remaining D. Only dominant strategies exist
processing time
Answer: B
102-In game theory, a “two-person zero-sum
game” implies: 107-The payoff matrix of a game provides:

A. The sum of payoffs for both players is always A. Strategies of the players
zero B. Probabilities of success
B. The game has no Nash equilibrium C. Payoffs for each strategy combination
C. Both players always win D. Only optimal payoffs
D. The game has no pure strategies
Answer: C
Answer: A
108-Pure strategies in game theory refer to:
103-In a saddle point in game theory:
A. Randomized decisions
A. Maximin = Minimax B. Mixed strategies
B. Payoff is at maximum for both players C. Fixed decisions without randomness
C. All strategies have equal outcomes D. Optimal payoffs
D. There is no equilibrium
Answer: C
Answer: A
109-In solving a two-person zero-sum game Answer: B
graphically, the method is limited to:
114-Which of the following methods can be
A. 3×3 games used to solve a game with no saddle point?
B. 2×n or m×2 games
C. Only square matrices A. Minimax method
D. Only symmetric games B. Dominance method
C. Graphical method or Linear Programming
Answer: B D. Hungarian method

110-In a two-person zero-sum game, if all Answer: C

elements of the payoff matrix are negative,
then: 115-A fair game in game theory means:

A. Player A is in a favorable position A. All strategies are optimal

B. Player B is in a favorable position B. Value of the game is zero
C. The game has no value C. Payoffs are equal for all strategies
D. Value of the game is always negative D. Players share profits equally

Answer: D Answer: B

111-The graphical method is used in game 116-For a 2×2 game with no saddle point, the
theory when: optimal solution is usually found using:

A. All strategies are pure A. Dominance rule

B. One player has only two strategies B. Graphical method
C. The payoff matrix is 3×3 C. Algebraic method
D. The value of the game is zero D. Trial-and-error

Answer: B Answer: C

112-The Dominance Rule helps in: 117-The concept of equilibrium in game

theory was introduced by:
A. Finding saddle points
B. Reducing the size of the payoff matrix A. John von Neumann
C. Calculating mixed strategies B. Albert Tucker
D. Changing the payoffs C. John Nash
D. George Dantzig
Answer: B
Answer: C
113-In a mixed strategy, a player:
118-A zero-sum game implies that:
A. Plays each strategy with equal probability
B. Randomly chooses among strategies based on A. The total benefit for all players is always zero
calculated probabilities B. Gains of one player are exactly equal to
C. Always picks the strategy with the highest losses of another
payoff C. Players cooperate to get maximum reward
D. Avoids the use of probability D. The game has only one player
Answer: B 123-Which method is commonly used to solve
a 2×n or m×2 game without saddle point?
119-If a strategy guarantees a minimum gain
regardless of the opponent’s strategy, it is A. Dominance rule
called: B. Hungarian method
C. Graphical method
A. Optimal Strategy D. Simplex method
B. Maximin Strategy
C. Mixed Strategy Answer: C
D. Pure Strategy
124--If a game has more than one saddle
Answer: B point, then:

120-Which of the following statements is A. It has no solution

NOT true for a two-person zero-sum game? B. It cannot be solved by pure strategies
C. All saddle points give the same value of the
A. Gain of one player is loss of the other game
B. The total utility is always constant D. The saddle point with the highest payoff is
C. The game may have more than one saddle chosen
point
D. The sum of all payoffs is always zero Answer: C

Answer: D 125-The player using a minimax strategy is:

121-The strategy combination that represents A. Maximizing the minimum gain

a saddle point is: B. Minimizing the opponent’s loss
C. Minimizing the maximum possible loss
A. Maximin strategy for Player A and Minimax D. Maximizing expected value
for Player B
B. Pure strategy for both players Answer: C
C. Random strategy for at least one player
D. Strategy that maximizes joint payoff 126-Game theory applies to:

Answer: A A. Monopoly
B. Oligopoly
122-In a 3×3 game with no saddle point and C. Perfect competition
no dominant strategy, the best method is: D. None of the above

Answer: B
A. Graphical method
B. Matrix inversion
C. Mixed strategy using linear programming 127-The replacement problem in
D. North-West Corner Rule operations research is concerned with:

Answer: C A. Inventory control

B. Optimizing production scheduling
C. Determining the best time to replace
equipment or items
D. Workforce allocation
Answer: ✅C. Determining the best time to 132-In the context of replacement,
replace equipment or items "Salvage Value" refers to:

128-Which of the following is a key A. The resale value of replaced items

reason for replacing a machine? B. The cost of installing new equipment
C. Maintenance cost after replacement
A. It becomes more attractive D. Depreciation value
B. Maintenance cost decreases
C. Efficiency increases over time Answer: ✅ A. The resale value of replaced
D. Maintenance cost increases over time items

Answer: ✅D. Maintenance cost increases 133-Replacement theory deals with:

over time
A. Replacement of manpower only
129--In a replacement model for items B. Replacement of items that fail suddenly
that deteriorate with time, which of the or gradually
following costs is considered? C. Scheduling of jobs
D. Inventory control
A. Setup cost
B. Holding cost Answer: ✅ B. Replacement of items that
C. Maintenance cost fail suddenly or gradually
D. Demand cost
134-Replacement decisions are based on:
Answer: ✅C. Maintenance cost
A. Purchase cost
130-The Economic Life of an asset is B. Operating and maintenance costs
defined as the period that: C. Resale value
D. All of the above
A. The machine is physically usable
B. Maximizes the average cost 135-A sudden failure item is best handled
C. Minimizes the total maintenance cost
with which model?
D. Minimizes the average total cost per year

Answer: ✅D. Minimizes the average total A. Gradual failure model

cost per year B. Group replacement model
C. Continuous replacement model
D. Deterministic model
131-Which policy is generally more cost-
effective when failure rates increase with Answer: ✅ B. Group replacement model
age?
136-Gradual failure items experience:
A. Random replacement
B. Group replacement A. Constant failure rate
C. No replacement B. Increasing failure rate
D. Replacement on failure C. Decreasing failure rate
D. No failure at all
Answer: ✅B. Group replacement
Answer: ✅B. Increasing failure rate 143--The replacement theory is not
applicable to:
139-Economic life of an asset is:
A. Machines
A. The maximum life before complete B. Electric bulbs
failure C. Human resources
B. Life that minimizes the average annual D. Economic order quantity
cost
C. The life that gives highest salvage value Answer: ✅ D. Economic order quantity
D. The time till resale is not possible
144-An example of a group replacement
Answer: ✅B. Life that minimizes the item is:
average annual cost
A. Computer
140-Which cost increases with age in B. Car
replacement theory? C. Fluorescent tube in office
D. Generator
A. Capital cost
B. Salvage value Answer: ✅ C. Fluorescent tube in office
C. Maintenance cost
D. None of the above 145-The main objective of replacement
policy is to:
Answer: ✅C. Maintenance cost
A. Maximize machine life
141-In group replacement policy, items B. Minimize the breakdown rate
are replaced: C. Minimize the total cost over time
D. Maximize maintenance efforts
A. As soon as they fail
B. At fixed intervals regardless of condition Answer: ✅ C. Minimize the total cost over
C. All at once after reaching maximum life time
D. Only if salvage value is zero
146- Which model is suitable for items
Answer: ✅B. At fixed intervals regardless that show a predictable increase in
of condition maintenance cost over time?

142-In replacement models, "time value A. Group replacement model

of money" is considered in: B. Individual replacement model for
gradually failing items
A. Linear programming C. EOQ model
B. Discounted cash flow approach D. Simulation model
C. Transportation models
D. Assignment problems Answer: ✅ B. Individual replacement
model for gradually failing items
Answer: ✅B. Discounted cash flow
approach
147-When is group replacement more Answer: ✅ B. Decreasing over time
economical than individual replacement?
151-When both maintenance cost and
A. When replacement costs are low operating cost increase over time, which
B. When failure rate decreases strategy is most useful?
C. When the number of items is large and
failure rate increases A. Replace immediately
D. When maintenance cost is constant B. Delay replacement
C. Use EOQ model
Answer: ✅C. When the number of items is D. Analyze total cost over time to find
large and failure rate increases optimal replacement point

148-A replacement policy is considered Answer: ✅ D. Analyze total cost over time
optimal when it: to find optimal replacement point

A. Extends the life of the item 152-The point at which the average cost
B. Maximizes the salvage value of using a machine is minimum is called
C. Minimizes average cost per time unit its:
D. Minimizes the purchase cost
A. Physical life
Answer: ✅C. Minimizes average cost per B. Salvage value
time unit C. Economic life
D. Useful life
149-What is the main difference between
sudden and gradual failure replacement Answer: ✅ C. Economic life
models?
153-The objective of replacement models
A. Gradual models are used for electronics is to:
B. Sudden failure models have no warning A) Maximize the usage of machines
signs before failure B) Minimize total cost over a period
C. Sudden failure items always have salvage
C) Maximize profit
value
D. Gradual failure items are never replaced D) Delay replacement as long as possible

Answer: ✅B. Sudden failure models have Answer: B) Minimize total cost over a
no warning signs before failure period

150-The depreciation cost of an asset is 154-What is the full form of CPM?

typically: A) Critical Process Management
B) Critical Path Method
A. Increasing over time C) Cost Path Method
B. Decreasing over time D) Control Path Mechanism
C. Constant Answer: B) Critical Path Method
D. Unpredictable
155-CPM is mainly used for: 163-In CPM, activity times are:
A) Inventory management A) Probabilistic
B) Project scheduling B) Deterministic
C) Decision analysis C) Always fixed
D) Linear programming D) Ignored
Answer: B) Deterministic
Answer: B) Project scheduling
164-The main difference between CPM
156-In CPM, the critical path is the path
that: and PERT is:
A) Takes the least time to complete A) CPM is used for research projects
B) Has the most slack B) PERT uses probabilistic time estimates
C) Has zero slack
D) Is the most expensive
C) CPM ignores time estimates
Answer: C) Has zero slack D) There is no difference
Answer: B) PERT uses probabilistic time
160-Which of the following statements is estimates
true regarding the critical path?
A) Delays on the critical path will not affect 165-A dummy activity in a network diagram:
the overall project A) Consumes time and resources
B) Is used to show dependency
B) It is the shortest path through the project
C) Is not shown in CPM
C) It determines the minimum project D) Affects the project duration
duration Answer: B) Is used to show dependency
D) It includes tasks with maximum cost
Answer: C) It determines the minimum 166-The earliest start time of an activity is
project duration calculated during:
A) Backward pass
161-Slack time is defined as: B) Forward pass
A) Time saved due to resource allocation C) Critical path calculation
B) The difference between the earliest and D) None of the above
latest start times Answer: B) Forward pass
C) Extra budget assigned to a task
D) None of the above 167-The latest finish time of an activity is
Answer: B) The difference between the calculated during:
earliest and latest start times A) Forward pass
B) Backward pass
162-Which of the following techniques is C) Slack calculation
not associated with project scheduling? D) Gantt chart analysis
A) CPM Answer: B) Backward pass
B) PERT
C) Gantt Chart 168-Which of the following is a basic
component of a CPM network diagram?
D) EOQ A) Nodes and Arrows
Answer: D) EOQ B) Tables and Charts
C) Pie diagrams
D) Flowcharts 174-The earliest event time is determined
Answer: A) Nodes and Arrows by:
A) Forward pass only
169-The critical path in a network diagram
is: B) Backward pass only
A) The longest duration path C) Slack calculation
B) The shortest distance between nodes D) Float analysis
C) The path with minimum slack
Answer: A) Forward pass only
D) Both A and C
Answer: D) Both A and C
175-What is the full form of PERT?
170-CPM is suitable for: A) Project Evaluation and Review Technique
A) Projects with uncertain activity durations B) Program Evaluation and Result Technique
B) Repetitive manufacturing processes C) Process Evaluation and Review Tool
C) Projects with predictable time and cost D) Project Efficiency Review Technique
estimates Answer: A) Project Evaluation and Review
D) Pure research projects Technique
Answer: C) Projects with predictable time and
cost estimates 176-PERT is primarily used for:
A) Inventory management
171-Which technique is more suitable for B) Probabilistic project scheduling
time-focused project planning? C) Transportation problems
A) PERT D) Cost accounting
B) CPM Answer: B) Probabilistic project scheduling
C) Gantt Chart
D) Queuing Theory 177-PERT differs from CPM mainly in:
Answer: B) CPM A) CPM uses probabilistic time, PERT uses
deterministic time
172-Which of the following is not true
B) PERT uses deterministic time, CPM uses
about critical activities?
probabilistic time
A) They have zero float
C) PERT uses probabilistic time estimates
B) Any delay will delay the project
D) PERT is used for manufacturing only
C) They can be delayed without affecting
Answer: C) PERT uses probabilistic time
the project
estimates
D) They lie on the critical path
Answer: C) They can be delayed without 178-In PERT, time estimates are:
affecting the project A) Only optimistic
B) Only pessimistic
173-A dummy activity is used in CPM to:
C) Based on average time
A) Consume time
D) Optimistic, most likely, and pessimistic
B) Maintain correct logic in the network
Answer: D) Optimistic, most likely, and
C) Reduce project cost
pessimistic
D) Increase the float
Answer: B) Maintain correct logic in the 179-The expected time (te) in PERT is
network calculated using:
A) (Optimistic + Pessimistic) / 2
B) (Optimistic + 4×Most likely +
Pessimistic) / 6
C) (Most likely + Pessimistic) / 2
D) (4×Optimistic + Most likely +
Pessimistic) / 6
Answer: B) (Optimistic + 4×Most likely +
Pessimistic) / 6

180-Which of the following is not a time

estimate in PERT?
A) Optimistic time
B) Most likely time
C) Pessimistic time
D) Maximum time
Answer: D) Maximum time