DISTANCE EDUCATION
M.B.A. DEGREE EXAMINATION, DECEMBER 2017.
Second Semester
QUANTITATIVE METHODS
(Upto 2012-13 Academic Year and 2013 Calendar Year)
Time Three hours Maximum 100 marks
SECTION A — × 8 40 marks)
Answer any FIVE questions.
All questions carry equal marks.
1. Explain the relationship between marginal cost and
average cost.
2. An animal feed company must produce 200 kg of a
mixture consisting of ingredients X1 and X2 daily. X1
cost Rs. 3 per kg and X2 Rs. 8 per kg. Not more than
80 kg of X1 can be used, and at least 60 kg of X2 must he
used. Find how much of each ingredient should be used if
the company wants to minimize cost.
3. Distinguish between 'balanced transportation problem'
and 'unbalanced transportation problem'.
4. If three balls are drawn at random at a time from a bag
containing six red and five white balls, then what is the
change of getting all red balls?
5. What are the fields of applications for queuing?
6. Write down the steps involved in drawing a decision tree.
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7. What is the role of sensitivity analysis in linear
programming?
8. What are the limitations of linear programming?
SECTION B — × 15 60 marks)
Answer any FOUR questions.
All questions carry equal marks.
9. Describe some of the important categories of
mathematical models.
10. For the transportation data given below. Find the initial
feasible solution using NCWM and VAM methods.
Warehouse, cost per unit in Rs.
Plant W1 W2 W3 Availability
P1 8 7 10 25
P2 6 8 4 33
P3 5 6 9 22
Requirement 26 30 24 80
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12. There are three bags containing some balls as follows
Bag 3 red and 7 black
Bag 6 red and 4 black
Bag 8 red and 2 black
A ball is drawn first from the Bag Another ball is
drawn from the bag if the first one was red, or from
the Bag if the first one was black.
Find the probability that the ball drawn from the Bag
was red, the ball drawn from the Bag was red,
the ball drawn from the Bag was red, and that
two red balls were drawn.
13. What are the advantages and disadvantages of
simulation?
14. A businessman has two alternatives open to him and
each of which can he followed by any of the four possible
events. The conditional payoffs for each action event
combination are given below
Payoffs conditional on events
Actions A B C D
S1 8 0 -10 6
S2 12 18
S3 14 6 0 8
If he adopts maximin criterion, what acts he should
choose?
If the criterion of choice is minimax regret, what
action should be chosen?
15. Explain the types of decision making environments.
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