It has been seven quarters since any employee has received a bonus at R & G Mills, so now the possibility of getting one does not seem to be motivating the workers any longer. In this case, management has inadvertently applied
A. expectancy.
B. negative reinforcement.
C. extinction.
D. intrinsic motivation.
E. punishment.
Answer: C. extinction.
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Management Chapter 12
- An advantage of the fixed-period inventory system is that:
- Which of the following should be higher in P systems than Q systems?
- Q is to ________ systems as P is to ________ systems.
- Which of the following is a requirement of Q systems?
- What is the difference between P and Q inventory systems?
- A disadvantage of the fixed-period inventory system is that:
- The fixed-period inventory system requires more safety stock than a fixed-quantity system because:
- A bakery wants to determine how many trays of doughnuts it should prepare each day. Demand is normal with a mean of 5 trays and standard deviation of 1 tray. If the owner wants a service level of at least 95%, how many trays should he prepare (rounded to the nearest whole tray)? Assume doughnuts have no salvage value after the day is complete.
- Service level is:
- Suppose that papers for a newspaper stand cost $0.40 and sell for $0.80. They currently have no salvage value. If the stand owner is able to find an outlet that would provide a salvage value of $0.10, what would be the increase in service level?
- A local club is selling Christmas trees and deciding how many to stock for the month of December. If demand is normally distributed with a mean of 100 and standard deviation of 20, trees have no salvage value at the end of the month, trees cost $20, and trees sell for $50 what is the service level?
- The main trait of a single-period model is that:
- Which of the following items is mostly likely managed using a single-period order model?
- In a safety stock problem where both demand and lead time are variable, demand averages 150 units per day with a daily standard deviation of 16, and lead time averages 5 days with a standard deviation of 1 day. What is the standard deviation of demand during lead time?
- If daily demand is constant at 10 units per day, and lead time averages 12 days with a standard deviation of 3 days, 95 percent service requires how much safety stock?
- If daily demand is normally distributed with a mean of 15 and standard deviation of 5, and lead time is constant at 4 days, a 90 percent service level will require how much safety stock?
- If demand is not uniform and constant, then stockout risks can be controlled by:
- The proper quantity of safety stock is typically determined by:
- The purpose of safety stock is to:
- Demand for dishwasher water pumps is 8 per day. The standard deviation of demand is 3 per day, and the order lead time is four days. The service level is 95%. What should the reorder point be?
- A specific product has demand during lead time of 100 units, with a standard deviation during lead time of 25 units. What safety stock (approximately) provides a 95% service level?
- If the standard deviation of demand is six per week, demand is 50 per week, and the desired service level is 95%, approximately what is the statistical safety stock?
- Which of the following statements about quantity discounts is FALSE?
- When quantity discounts are allowed, the cost-minimizing order quantity:
- A production order quantity problem has a daily demand rate = 10 and a daily production rate = 50. The production order quantity for this problem is approximately 612 units. What is the average inventory for this problem?