v$2$

$4\mathrm{.}1)$ A manager is comparing the total maintenance $($preventive plus breakdown$)$ cost curves for two scenarios. The graphs have maintenance commitment on the $x-$axis and costs on the $y-$axis. Scenario A includes the direct breakdown maintenance costs, while Scenario B includes the "full" $($direct and indirect$)$ breakdown maintenance costs. Which of the following should the manager notice when going from Scenario A to Scenario B$?$

a$)$ Total cost is decreased.

b$)$ Optimal point is moved to the left.

c$)$ Optimal point is moved to the right.

d$)$ Preventative maintenance cost slope is increased.

e$)$ None of the above

$4\mathrm{.}2)$ Which one of the following is NOT necessary to identify the optimal maintenance policy?

a$)$ historical data on maintenance costs

b$)$ cost of performing the analysis

c$)$ breakdown probabilities

d$)$ breakdown occurrences

e$)$ repair times

$4\mathrm{.}3)$ Effective use of MRP and other dependent demand models does not require which of the following?

a$)$ master production schedule

b$)$ bill of materials

c$)$ inventory availability

d$)$ lead times

e$)$ cost of individual components

$4\mathrm{.}4)$ Gross material requirements do not take into account the amount of inventory on hand.

a$)$ TRUE

b$)$ FALSE

Which of the following is NOT a potential cause of the bullwhip effect?

a$)$ shortage gaming

b$)$ channel coordination

c$)$ order batching

d$)$ demand forecast errors

e$)$ price fluctuations