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1. Which of the following statements about process efficiency is false? A. A process is efficient if it is able to achieve a high flow rate with few resources. B. Cost of direct labor goes up if the flow rate goes up. C. Revenue goes up if the flow rate goes up. D. Cycle time goes up if the flow rate goes down. 2. Decisions are shown in a process flow diagram as: A. boxes. B. triangles. C. diamonds. D. arrows. 3. The capacity of a resource determines the number of flow units that can flow through that resource per unit of time. A. maximum. B. minimum. C. average. D. appropriate. 4. You observe a long line at Sharjah Islamic Bank with customers leaving every 10 minutes. What is the capacity (in customer per hour) of the bank branch? A. 0.1 B. 1 C. 60 D. 6 5. The capacity of a bottleneck resource is the capacity of the process. A. equal to B. smaller than C. larger than D. The answer depends on whether the process is capacity- or demand-constrained 6. Which of the following statements about process analysis is TRUE? A. Process analysis only matters to those who are in accounting. B. Process analysis is all about keeping track of revenue and costs. C. Process analysis is all about creating demand. D. Process analysis helps one analyze all the activities involved in providing one unit of supply. 7. What would be the process improvement decision from the following options, assuming unlimited demand? A. Increase a non-bottleneck stage capacity. B. Increase all employees' salaries. C. Reduce demand. D. Reassign tasks from the bottleneck to a non-bottleneck stage. 8. Which of the following is a variable cost? A. Equipment leasing B. Office rent C. Raw material cost D. Advertisement cost 9. Which of the following is a drawback of specialization? A. Increased processing time B. Increased wage rates C. Demotivated workers D. Increased setup times 10. One of the primary objectives of an operating unit is to satisfy demand. Let takt time fall; which of the following time metrics is the first that should be reduced? A. Cycle time B. Processing time C. Idle time D. Setup time