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MANAGEMENT PROGRAMME
Term-End Examination
June, 2005
MS51 : OPERATIONS RESEARCH
Time: 3 hours
Maximum Marks: 100
(Weightage 70%)
SECTION A
1. Explain the characteristics of Operations Research. Discuss its importance in decision making process. Give the limitations of O.R. (20)
2. Solve the following Linear Programming Problem graphically:
Maximise z = 4x1+6x2
Subject to the constraint
x1+x2=5
x1 ≥ 2
x2 ≤ 4
x1, x2 ≥ 0 (20)
3. A company is spending Rs. 1000/- on transportation of its units from three plants to four distribution centres. It has calculated the cost of transportation from different plants to distribution centres, given below in Rs. The supply and demand of units is also given below, Will the company save some money by optimum scheduling and how much ? (20)
| Distribution Centre | |||||
| Plant | D1 | D2 | D3 | D4 | Availability |
| P1 | 19 | 30 | 50 | 12 | 7 |
| P2 | 70 | 30 | 40 | 60 | 10 |
| P3 | 40 | 10 | 60 | 20 | 18 |
| Requirements | 5 | 8 | 7 | 10 | |
4. The annual demand for an item is 3200 units. The unit cost is Rs. 6/- and inventory carrying cost is 25% per annum. If the cost of one procurement is Rs. 150/- find out (20)
(i) Economic Order Quantity5. (a) Discuss the application of dynamic programming in decision making. How is this different from linear programming? (10)
(b) Explain Convex and Concave functions as related to non-linear programming. Discuss Kuhn - Tucker conditions. (10)
SECTION B
6. A self-service grocery store employs one cashier at its counter. Eight customers arrive on an average every 5 minutes while the cashier can serve 10 customers in 5 minutes. Assuming Poisson distribution for arrival and exponential distribution for service rate, find
(a) Average number of customers in the system
(b) Average number of customers in queue.
(c) Average time a customer spends in the system.
(d) Average time a customer waits before being served. (20)
7. (a) Find the saddle point in the following case and also the game value. (10)
B
1 14 11
A -9 5 -11
0 -3 14
(b) Explain the need for simulation in management problems. Give various steps in simulation process, giving examples. (20)
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