Cognitive abilities and organizational commitment

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Reference no: EM132113684

1. Which of the following describes the correlation between cognitive abilities and organizational commitment?

1. Strong, negative

2. Moderate, negative

3. Strong, positive

4. Weak, negative

5. Not significant

2. The daily demand for wine at a local restaurant is normally distributed with a mean of 20 bottles and a standard deviation of 5 bottles. The wine merchant sends a representative to check the restaurant’s wine cellar every 30 days, and during a recent visit there were only 10 bottles in stock. The lead time to receive an order is 2 days. The restaurant manager would like to know the order size that will enable him to limit the probability of a stock out to 4 percent (i.e., customer service level of 96%).

Less than 650 units

Greater than or equal to 650 units but less than 665 units

Greater than or equal to 665 units but less than 685 units

Greater than or equal to 685 units but less than 700 units

Greater than 700

3. The MIS Autoparts Inc. imports and sells standard air filters for most Japanese cars, and it operates under the continuous review system. The average demand for this item is 1200 units per month, and the standard deviation is 300 units per month. It costs the company $200 to process each order. The holding cost for one unit is $4.00 per year, and the lead time is 4 months. If the customer service level is set at 91%, what is the reorder point (ROP) for this air filter?

Less than 5000 units

Greater than 5000 units but less than 5300 units

Greater than 5300 units but less than 5600 units

Greater than 5600 units but less than 5900 units

Greater than 5900 units

4. Consider the following data for an auto part maintained by Fred Raafat, the owner of a local auto repair shop:

Weekly demand = 100 units

Holding cost = $1/unit/year

Ordering cost = $16/order

Weeks in a year = 50

If Fred uses the EOQ model, how frequently must he place orders for this item?

Every week

Every 2 weeks

Every 3 weeks

Every 4 weeks

None of the above

Reference no: EM132113684

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