DISTANCE EDUCATION
M.B.A. DEGREE EXAMINATION, MAY 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. Discuss the significance of Quantitative methods and the
need for problem modeling.
2. Solve the following LPP by graphical method
Minimize Z 4x2
Subject to
3x1 x2 6
x1 2x2 4
x2
No lower bound constraint for x1 .
3. Three jobs C are to be assigned to three machines
Y and Z. The processing costs are as given in the
matrix shown below. Find the allocation which will
minimize the overall processing cost. (Use Hungarian
Method).
Sub. Code
21
DE-819
2
wk4
Machine
Job
X Y Z
A 19 28 31
B 11 17 16
C 12 15 13
4. Consider an experiment which consists of 2 independent
coin-tosses. Let the random variable X denote the number
of heads appearing. Write down the probability mass
function of X.
5. What are the key performance measures of a queuing
system?
6. Discuss the importance of Simulation in decision making
process.
7. Discuss on the typical decision making environments and
applicability of Decision tree approach to solve such
problems.
8. Explain the concept of Incremental Marginal Analysis in
the context of Decision making Scenarios.
SECTION B — × 15 60 marks)
Answer any FOUR questions.
All questions carry equal marks.
9. Discuss the interdisciplinary nature of quantitative
methods and the contribution of various disciplines.
10. What are the basic guidelines of Linear Programming
Model Formulation? Explain with an example.
11. Explain the steps used in 'North West Corner Method' of
Transportation problem solving.
DE-819
3
wk4
12. Define probability and explain various types of
probabilities.
13. The number of misprints per page of text is commonly
modeled by a Poisson distribution. It is given that the
parameter of this distribution is 0.6 for a particular
book. Find the probability that there are exactly
2 misprints on a given page in the book. How about the
probability that there are 2 or more misprints?
14. A firm manufactures 3 types of products. The fixed and
variable costs are given below
Cost/Product Fixed cost Variable cost
per unit
Product A 25,000 12
Product B 35,000 9
Product C 53,000 7
The likely demand (units) of the products is given below.
Poor demand: 3000; Moderate Demand: 7000 and High
Demand: 11000. If the sale price of each product is Rs. 25,
then prepare the pay off matrix.
15. A manufacturer of cycles buys its cycle chain at Rs. 140
each. In case he makes it himself, the fixed and variable
costs would be 2,00,000 and Rs. 80 per cycle chain
respectively. Should the manufacturer make or buy the
cycle chain if there is a demand for 2400? Justify your
decision with BEP chart.