QUESTION 4 Suppose activities A6 and A7 are located on the same non-critical path. Activity A6 has 2 units of slack time and activity A7 has 3 units of slack time. Therefore, activity A6 can be delayed by 2 time units and activity A7 can be delayed by 3 time units without affecting the completion time of the entire project. O True O FalseQUESTION 12 For products with slow-moving demand, e.g. 1 unit per week, the Poisson distribution is likely to be a better model for demand than the normal distribution because: (Choose the best answer O a. The Poisson distribution is a continuous distribution. O b. Only the standard normal distribution would apply in this setting O c. The Poisson's standard deviation is equal to the square root of its mean. O d. The normal distribution does not allow the freedom to choose any standard deviation for any given mean O e. None of the other answers are correct. Of. The Poisson distribution does not assign any probability to negative outcomes QUESTION 13 Suppose a firm uses an A/F ratios approach to come up with demand forecast. The average A/F ratio from historical data turns out to be 0.8. What is the bes conclusion that can be drawn from this observation? O a. There is a bias in the forecasting process: forecasts are on average higher than demand. O b. The optimal order quantity should be 0.8 times the forecast. O c. The critical ratio of the product in the past was 0.8. O d. There is a bias in the forecasting process: forecasts are on average lower than demand. O e. The coefficient of variation of demand will be 0.8. Of. None of the other answers are correct.QUESTION 2 Which of the following normal demand distributions would result in the highest expected profit for the newsvendor model (keeping cost/revenue parameters the same)? Choose the best answer. O a. Mean 10, standard deviation 20. O b. It is not possible to determine which of the other answers has the highest expected profit. O c. Mean 20, standard deviation 0. O d. Mean 20, standard deviation 10 O e. Mean 20, standard deviation 20 O f. Mean 10, standard deviation 10. O g. Mean 10, standard deviation 0.QUESTION 6 Assuming that the order-up-to level stays constant, which of the following statements is true about the order-up-to model? O a. As the demand uncertainty (measured by o) increases, both on-hand inventory and pipeline inventory increase. O b. None of the other answers are correct. O c. When the mean demand increases, both on-hand inventory and pipeline inventory remain the same. O d. As the demand uncertainty (measured by o) increases, on-hand inventory decreases, but the pipeline inventory remains the same. O e. As the lead time increases, the on-hand inventory increases, but the pipeline inventory remains the same.QUESTION 9 Which of the following is true about the critical path of activities? O a. The activity with the longest duration is always on the critical path O b. The entire project is delayed if any activity on the critical path is delayed, O c. The critical path is the path with the longest duration of activities O d. Answer choices b) and c) are correct. O e. None of the above answer choices are correct QUESTION 10 The inventory level in the Order-up-to model is determined by the demand model of lead time plus 1 time period O True O False