Industrial Engineering

51. Acceptance sampling is widely used in

  1. batch production
  2. job production
  3. mass production
  4. all of the above
  5. none of the above.

Correct answer: (C)
mass production

52. According to MAPI formula, the old machine should be replaced by new one when

  1. CAM < DAM
  2. CAM > DAM
  3. CAM = DAM
  4. there is no such criterion
  5. none of the above.

Correct answer: (A)
CAM < DAM

53. Basic motion time study gives times for basic motions in ten thousandths of

  1. second
  2. minute
  3. hour
  4. day
  5. none of the above.

Correct answer: (B)
minute

54. Basic tool in work study is

  1. graph paper
  2. process chart
  3. planning chart
  4. stop watch
  5. analytical mind.

Correct answer: (D)
stop watch

55. Break-even analysis consists of

  1. fixed cost
  2. variable cost
  3. fixed and variable costs
  4. operation costs
  5. none of the above.

Correct answer: (C)
fixed and variable costs

56. Break-even analysis shows profit when

  1. sales revenue > total cost
  2. sales revenue = total cost
  3. sales revenue < total cost
  4. variable cost < fixed cost
  5. none of the above.

Correct answer: (A)
sales revenue > total cost

57. Choose the wrong statement Time study is used to

  1. determine overhead expenses
  2. provide a basis for setting piece prices or incentive wages
  3. determine standard costs
  4. determine the capability of an operator to handle the number of machines
  5. compare alternative methods.

Correct answer: (A)
determine overhead expenses

58. Choose the wrong statement. Motion study is used for

  1. improving a work method
  2. improvising a work method
  3. designing a work method
  4. providing a schematic framework
  5. reducing inventory costs.

Correct answer: (E)
reducing inventory costs.

59. Current assets include

  1. manufacturing plant
  2. manufacturing plant and equipment
  3. inventories
  4. common stock held by the firm
  5. all of the above.

Correct answer: (A)
manufacturing plant

60. Expediting function consists in keeping a watch on

  1. operator's activity
  2. flow of material and in case of trouble locate source of trouble
  3. minimising the delays
  4. making efficient despatching
  5. none of the above.

Correct answer: (B)
flow of material and in case of trouble locate source of trouble

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