Section $1$ Multiple choice $(3$ point each, Total $30$ points$)$

Costco, most of the time, can provide cheaper per unit price for the same product compared

with ShopRite. What kind of operations strategy is Costco using to enhance its

competitiveness in this example?

A$.$ Cost leadership

B$.$ Differentiation

C$.$ Responsiveness

D$.$ Efficiency

Which of the following statement about productivity and production is correct? $($only one is

correct$)$

A$.$ Productivity is a measure of output.

B$.$ Production is a measure of efficiency.

C$.$ The higher the production, the better.

D$.$ The higher the productivity, the better.

One iPhone assembly line at Foxconn is designed to assemble $5000$ iPhones per day. Due

to breaks required by law, comfort breaks, and other interruptions, this assembly line is

expected to assemble $4800$ iPhones per day. However, yesterday two assemblers were sick

and only $4000$ iPhones were assembled on this assembly line. $4800$ iPhones is the:

A$.$ Design capacity

B$.$ Effective capacity

C$.$ Efficient capacity

D$.$ Actual output

Which statement is correct about forecasting? $($only one statement is correct$)$

A$.$ Growth stage is the most critical stage for forecasting.

B$.$ MSE is the best metric to measure forecasting accuracy.

C$.$ If a product is in its declining stage, we do not need to forecast its sales anymore.

D$.$ Time series forecasting is the same as using regression for forecasting.

Home Depot displays many hardwood flooring samples so customers can place orders for the

specific sample they like. Home Depot then consolidate customers' orders for manufacturers

to make the hardwood floors. This is a forecasting application in:

A$.$ Production

B$.$ Inventory

C$.$ Personnel

D$.$ Facility