Production and Operations Quiz

What is the purpose of production according to Topic 2.3.1 Operations?

• To create goods and services

• To increase profits

• To reduce costs

• To improve technology

Which production method requires highly skilled workers and has a lengthy process?

• Job

• Batch

• Flow

• Continuous

What is a disadvantage of the batch production method?

• Work is repetitive

• High capital investment

• Need highly skilled workers

• Consistent quality

What is a benefit of Just-In-Time (JIT) according to Topic 2.3.2?

• Less storage space needed

• Greater risk of running out

• No bulk-buying discounts

• More capital tied up in stock

What is a limitation of JIT?

• Greater risk of running out

• Fresher produce

• Less capital tied up in stock

• Improved quality

What is the formula for Gross Profit?

• Revenue - cost of sales

• Gross profit - expenses

• (Gross profit + Sales revenue) x 100

• (Net profit + Sales revenue) x 100

What is the formula for Net Profit?

• Gross profit - expenses

• Revenue - cost of sales

• (Gross profit + Sales revenue) x 100

• (Net profit + Sales revenue) x 100

What is a pro of using line graphs?

• Good for data shown over many time periods

• Good for showing proportions

• Good for compressing size

• Cannot be easily used to compare data

What is a con of using pie charts?

• Show big differences clearly but not small differences

• Good for data over 2-3 time periods

• Good for compressing size

• Too many lines can be confusing

What is the importance of quality assurance?

• Aims to prevent defects

• Finished goods are inspected

• Checks for defects rather than preventing them

• Workers less involved in process