What is ISO?

A. Indian organization for standard

B. Internal organization for standard
C. International organization for standard
D. None of the above
ANSWER: C
Which of the following is wrong?
A. ISO does not carry out ISO 9001 or ISO 14001 certifications
B. ISO issue certificates
C. ISO does not accredit, approve or control the certification bodies
D. ISO develops standards and guides to encourage good practice in certification
ANSWER: C
A Suitable plan for continual improvement can be summarized as?

A. Check Plan Do Act

B. Do Act Check Plan
C. Plan Do Check Act
D. Plan Act Check Do
ANSWER: C
For what duration is the ISO certification valid for any organization?
A. 5 years
B. 4 years
C. 3 years
D. 2 years
ANSWER: C
According to ISO 9001:2008 QMS one of the following is not top management responsibility.
A. Be committed to the QMS
B. Be customer focused
C. Establish a quality policy
D. None of the above
ANSWER: D
Which of the following is for environment management system?
A. ISO-9000
B. ISO-14000
C. ISO-26000
D. ISO-3100
ANSWER: B
If br. 1,000 is deposited in a saving account that pays 6% annual interest and all the interest is
left in the account, what is the account balance after three years?
A. Br. 840
B. Br. 1000
C. Br. 1180
D. Br. 1191
ANSWER: D
Select the wrong statement about depreciation.
A. Depreciation is the decrease in value of physical properties with the passage of
time and use.
B. A. Depreciation is an annual deduction against before-tax income.
C. Depreciation must have a determinable useful life and the life must be longer
than one year.
D. Depreciation is an increase in value of physical properties with the passage of
time and use
ANSWER: D
How many years will it take for an initial investment of birr 10,000 to double at an annual
interest rate of 4%?

A. 17.7 years
B. 15.2 years
C. 14 years
D. 18.5 years
ANSWER: A
The following cash flow diagram is given. Based on the given figure, which one of the following
is true about it?

A. The first disbursement occurs at the end of year 2

B. The second disbursement occurs at the end of year 4
C. The first receipt occurs at the end of year 1
D. All of the above
ANSWER: D
An amount F is accumulated by investing a single amount P for n compounding periods with
interest rate of i. select the formula that relates P to F.
A. P = F(1+i)-n
B. P = F(1+i)n
C. F = P(1+i)-n
D. F = P(1+i)n
ANSWER: A
What layout strategy deals with low-volume, high-variety production?

A. Fixed-position layout
B. Product layout
 C. Warehouse layout
D. Process-oriented layout
ANSWER: D
A machine part has a machinery time of 2.8 min/part on a milling machine. During an 8-hr shift
200 units are to be produced. Of the 480 min available time for production, the milling machine
will be operational 80% of the time. Meanwhile the machine is operational and parts are
produced at a rate equal to 95% of the standard time. What square-meter will be required if the
size of one machine is 1m x 2m (length by width)?

A. 2 m2
B. 4 m2
C. 16 m2
D. 1 m2
ANSWER: B
In systematic layout planning (SLP), the final relationship is represented by_______.

A. Space
B. Evaluation
C. Activity
D. None
ANSWER: A
Which of the following is the first step in making a correct location method?

A. Develop locations alternatives

B. Decide the criteria for evaluating location alternatives
C. Evaluate the alternatives
D. Make a decision and select the location
ANSWER: B
What is the other name of process layout ________.

A. Functional layout
B. Straight line layout
C. position layout
D. Product layout
ANSWER: A
Pair-wise exchange method is applied for __________.

A. New layouts
B. Improvement layouts
C. Both
D. None of the above
ANSWER: B
The plan-do-check-act cycle is firstly associated with:

A. Armand Feigenbaum
B. Joseph Juran
C. W.E. Deming
D. Walter Shewhart
ANSWER: C
Which one of the following is not the dimension of product quality?

A. Reliability
B. Tangibility
C. Durability
D. Serviceability
ANSWER: B
A statistical process tool which facilitates systematic record keeping or data collection as they
happen, which reveals patterns or trends is named as.

A. Check sheet or Tally sheet

B. Histogram
C. Scatter plot diagram
D. Control chart or Run chart
ANSWER: A
Pick the wrong statement.

A. A process is capable if individual products consistently meet specification

B. A process is stable (in control) only if common variation is present in the process
C. A process in statistical control will necessarily meet the design specifications
D. Process capability compares the output of an in-control process to the
specification
ANSWER: C
The control chart designed to deal with the defects or nonconformities of a product, is called.

A. P - chart
B. C - chart
C. R - chart
D. S - chart
ANSWER: B
Which material principle seeks to adapt work or working conditions to suit the abilities of the
worker?

A. Standardization Principle
 B. Ergonomic Principle
C. Space Utilization.
D. Environmental Principle
ANSWER: B
Let us assume that equipment has been purchased for br. 100,000 about three years back. If it is
considered for replacement, then its present value is not br. 100,000. Instead, its present market
value should be taken as the present value of the equipment for further analysis. So, the purchase
value of the equipment in the past is known as?

A. Opportunity cost
B. Sunk cost
C. Marginal revenue
D. Profit
E. All of the above
ANSWER: B
If the average of the samples falls within the upper and lower tolerance limits, then.

A. The process is out of control

B. The process is unequivocally in control
C. The process is said to be normal
D. The process may or may not be in control
ANSWER: D
In the case of individuals control charts, which of these is used?
A. Process standard deviation
B. Relative range
C. Mean of the highest observations
D. Moving range
ANSWER: D
One of the following work measurement technique is more appropriate for long and non-
repetitive tasks and to estimate idle time.

A. Time study
B. Work Study
C. Predetermined motion time study
D. Standard data
ANSWER: B
Which one is the correct procedure in method study

A. Select Record Examine Develop Define Install Maintain

B. Define Select Examine Develop Record Install Maintain
C. Select Develop Record Examine Define maintain Install
D. Examine Record Select Define Develop Install Maintain
ANSWER: A

Which one of the following is the aim of value engineering?

A. Find the depreciation value of a machine

B. Determine the selling price of a product
C. Minimize the cost without change in quality of the product
D. All of the above

ANSWER: C
Which one of the following statements concerning work sampling is not true?

A. Observations are made at random intervals.

B. A detailed description of activities is obtained.
C. Multiple observations are necessary.
D. It can be used to estimate the percentage of delay

ANSWER: B

Work study comprises following main techniques?

A. Method study and work measurement

B. Method study and time study
C. Time study and work measurement
D. Method study and job evaluation

ANSWER: A
The correct sequence of phases in value engineering is?

A. Creative phase, information phase, investigation phase, evaluation phase

B. Information phase, creative phase, investigation phase, evaluation phase
C. Investigation phase, information phase, creative phase, evaluation phase
D. Creative phase, investigation phase, evaluation phase, information phase

ANSWER: A
The amount of time a qualified worker should spend to compete a specified task, working at
sustainable rate, using given methods, tools and equipment, raw materials and workplace without
considering delays for job time and for time worked.

A. Observed time
B. Basic time
C. Standard time
D. Normal time
ANSWER: C
In metal forming, which one of the following is a machine that used to perform extrusion:
 A. Forge hammer
B. Milling machine
C. Roll mill
D. Press

ANSWER: D
Total solidification time is defined as which one of the following:

A. Time between pouring and complete solidification

B. Time between pouring and cooling to room temperature
C. Time between solidification and cooling to room temperature
D. Time to give up the heat of fusion

ANSWER: A
In sand casting why the patter size is greater than the cast part?

A. To compensate liquate shrinkage

B. To compensate solid shrinkage
C. There is no difference in their volumetric size
D. The statement is not correct, rather the size of pattern is less that the size of cast

ANSWER: B
The maximum possible draft in a rolling operation depends on which of the following
parameters.

A. Coefficient of friction between roll and work

B. Roll velocity
C. Stock thickness
D. Strength coefficient of the work metal

ANSWER: A

Which of the following is alternative name for indirect extrusion.

A. Backward extrusion
B. Direct extrusion
C. Forward extrusion
D. Impact extrusion

ANSWER: A
 While comparing holding force and drawing force in sheet metal cup drawing, which one of
the following statements is correct.

A. Drawing force and holding force are equal to each other

B. Sometimes drawing force may not be required
C. Holding force is greater than drawing force
D. Holding force is less than drawing force

ANSWER: D
Which of the following process is not grouped under metal removal process?

A. Boring
B. Milling
C. Chamfering
D. Rolling
ANSWER: D
Continuous chips are formed during machining when?

A. Speed is low, feed is high

B. Speed is high, feed is high
C. Speed is high, feed is low
D. Speed is low, feed is low
ANSWER: C
The milling operates on the principle of?

A. The cutter revolving against the work piece and the work piece is fixed.
B. The work piece rotating against the cutting tool, which can be controlled.
C. The cutting tool rotates and the work piece has some translation.
D. Both cutter and work piece rotating.
ANSWER: C
Which of the following solid-state welding processes applies heat from an external source?

A. Diffusion welding,
B. Forge welding,
C. Friction welding, and
D. Ultrasonic welding
ANSWER: B
From the statement given below one statement is not true about electrode that used in arc
welding?

A. It is available in stick and wire form

B. It is available covered with flux
C. It must always melt and mix with the parent metal
D. It is available in wire (continues) form
ANSWER: C
 From the statement given below one statement is not true about electrode that used in arc
welding.

A. It is available in stick and wire form

B. It is available covered with flux
C. It must always melt and mix with the parent metal
D. It is available in wire (continues) form
ANSWER: C
Which one of the following arc-welding processes produces the highest temperatures?

A. CAW
B. PAW
C. SAW
D. TIG
ANSWER: B
Which one is not the characteristics of project?

A. General purpose equipment is used

B. project has a sense of uniqueness
C. Multidisciplinary skills required
D. Project is routine/repetitive
ANSWER: D
A statement that defines the boundaries of a project or simply termed as the foundation of the
project work is?

A. Scope of the project

B. Project Resources
C. Cost of the project
D. Project Schedule
ANSWER: A
Independent activities P and Q can start simultaneously. However, activity Q is completed earlier
than P. Which of the following task dependency best describe the situation?

A. Start to start with a float on P

B. Start to start with a float on Q
C. Finish to start with a lag time on P
D. Finish to finish with a float on P
ANSWER: B

Which of the following is true about networking?

A. Initial event can have predecessor and successor activities

B. End event can only have predecessor activity
C. Dual event can only have successor activity
D. A and C are correct
ANSWER: B
Which statement is not true about the direct and indirect curve corresponding to total cost curve.

A. If project duration is decreased to the crash value, indirect cost will be decrease
B. If project duration is decreased to the crash value, project cost will be decrease
C. If the project duration is increased, total cost will increase
D. If project duration is increased, indirect cost will increase
ANSWER: B

Given the following project data which activity is to be crashed first?

Activity Normal Normal Crash Crash

duration(TN) Cost(Br)(CN) duration(TC) Cost(Br)(CC)
1-2 4 4,000 2 12,000
2-3 5 3,000 2 7,500
2-4 7 3,600 5 6,000
3-4 4 5,000 2 10,000
A. 1-2
B. 2-3
C. 2-4
D. 3-4
ANSWER: C
Which of the following is NOT true about resource optimization?

A. In resource smoothing, resource is unlimited

B. The total float of an activity is used to create uniform resource utilization
C. In resource leveling, the resources are considered unlimited.
D. For resource optimization technique time scaled version of network should be drawn.
ANSWER: C
Which one is not the advantage of linear programming model?
A. It helps decision - makers to use their productive resource effectively.
B. In order to make the decision-making approach of the user becomes more objective
and less subjective.
C. In a production process, it’s important in highlighting of bottle necks.
D. None
ANSWER: D
Both transportation and assignment problems are members of a category of LP problems called?
A. Shipping problems
B. Logistics problems
C. Routing problems
D. Network flow problems
ANSWER: D
Which statement characterizes standard form of a linear programming problem?
A. Constraints are given by inequalities of any type
B. Constraints are given by a set of linear equations
C. Constraints are given only by inequalities of >= type
D. Constraints are given only by inequalities of <= type
ANSWER: A
In LPP the condition to be satisfied is?
A. Constraints have to be linear
B. Objective function has to be linear
C. None of the above
D. Both A and B
ANSWER: D
The area bounded by all the given constraints is called?
A. Feasible region
B. Basic solution
C. Non feasible region
D. Optimum basic feasible solution
ANSWER: A
An integer programming problem in which all variables are required to be integer is.
A. Pure integer programming
B. Mixed integer programming
C. Pure (mixed) binary integer programming problems
D. Pure(mixed) 0-1 programming problems
ANSWER: A
One disadvantage of using North-West Corner Rule to find initial solution to the transportation
problem is that?
A. It is complicated to use
B. It does not take into account cost of transportation
C. It leads to degenerate initial solution
D. All of the above
ANSWER: B
Assume that you as industrial engineer wanted to develop a tool that serve as policy generation
and evaluation device for a company. Which one of the following is best option?
A. Linear programing
B. Nonlinear programing
C. Stochastic programing
D. Dynamic Programing
ANSWER: D
One is true about newton’s method for solving nonlinear programing?
A. Newton method do not require initial value
B. Newton method is free from support of Jacobi’s matrix
C. secant method is a quasi-newton method and is an alternative to classical newton method
D. Newton method is a search method
ANSWER: C
A mathematical theory that deals with a general feature of competitive situation known as
A. Queue theory
B. Decision theory
C. Game theory
D. Utility theory
ANSWER: C
---------------is the concept in game theory in which, the total payoffs for two players at the end of
the game is zero.
A. Zero-sum game
B. Two-person zero-sum game
C. Two-person non-zero-sum game
D. A & B
ANSWER: B
In dynamic programing problem the correct step is?
A. Stage-state-recursive relation-way of approach-optimal solution
B. Recursive relation-state- stage- way of approach-optimal solution
C. State- stage- recursive relation- way of approach-optimal solution
D. State- stage- way of approach- recursive relation- optimal solution
ANSWER: A
Which of the following is correct about Markov model?
A. It is a stochastic model used to model randomly changing system over time.
B. State and transition probability are the two important terms in the model.
C. State is the condition, and transition probability is the probability after one period time.
D. All
ANSWER: D
___________are tissues that connect bones to bones.
A. Ligaments
B. Sprain
C. Tendons
D. Nerves
ANSWER: B
Ergonomics is about fitting the work to the ___________________.
A. OSHA law
B. Worker
C. Groups
D. All
ANSWER: B
How are discs in the low back frequently injured?
A. Sitting all day
B. Heavy lifting
C. Using stooped postures
D. All
ANSWER: D
The greater the match between worker capabilities and task demands.
A. The greater the chance of worker injury/illness
B. The lower the chance of worker injury/illness
C. Has no impact on chance of worker injury/illness
D. The greater the chance of being exposed to high-risk jobs
ANSWER: B
The following subject(s) is (are) related to ‘Ergonomics’ ?
A. Anthropology
B. Physiology
C. Psychology
 D. All of the above
ANSWER: D
How can employers prevent/reduce ergonomic hazards?
A. Engineering Controls
B. Administrative Controls
C. Personal Protective Equipment
D. All of the above
ANSWER: D
Which of the following can contribute to Carpal Tunnel Syndrome?
A. Incorrect typing technique
B. Poor posture
C. Striking the keys too hard.
D. All of the Above
ANSWER: D
Which one of the following is not a characteristic of Job shop production system?

A. Highly skilled operators

B. Low volume and high variety of products
C. Large inventory of WIP materials, tools, and parts
D. Use of special purpose machine

ANSWER: D
Process Velocity is related to?

A. The ratio of the total throughput time to the value-added time

B. The ratio of work in process to throughput rate
C. The ratio of the value-added time to total throughput time.
D. The ratio of throughput rate to work in process.

ANSWER: A
Which one of the following is not the advantage of Modular design?

A. individual parts lose their identities

B. it enables us to produce maximum variety of products from minimum variety of materials
C. failure diagnosis is more complex
D. the inability to disassemble some modules in order to replace a faulty part

ANSWER: D
Which of one of the following related components of a wooden pencil do you think can be
eliminated from value analysis perspective?

A. Lead
B. Wood
 C. Eraser
D. Shaper

ANSWER: C
Which is true about the following figure.

A. Task 1 is blocked for 3 seconds

B. Task 2 is blocked for 3 seconds
C. Task 1 is starved for 3 seconds
D. Task 2 is starved for 3 seconds

ANSWER: A

Based on the above figure, the throughput time is?

A. 7 seconds
B. 10 seconds
C. 2 seconds
D. 5 seconds

ANSWER: B

Based on the above figure, the average work in progress Is.

A. 1 unit
B. 2 units
C. 3 units
D. 4units

ANSWER: B
Habesha furniture company, has production companies in Bahir Dar and Addis Ababa. The
managers of these companies are asked to forecast amount of production one week ahead for
their companies. Assume FMBDC is forecast made by manager of Bahir Dar’s company and
FMAAC is forecast made by manager of Addis Ababa’s company. All information is depicted
below in the table. Based on Mean Absolute Deviation (MAD) and Mean Squre Error(MSE),
which one of the following is not correct?

week FMBDC Actual |ErrorBD| FMAAC Actual |ErrorAA|

1 92 88 4 96 91 5

2 87 88 1 89 89 0

3 95 97 2 92 90 2

4 90 83 7 93 90 3

5 88 91 3 90 86 4

6 93 93 0 85 89 4

A. MAD of Bahir Dar’s company is 2.83

B. MAD OF Addis Ababa’s company is 3
C. Based on MAD, Bahir Dar’s company Manager is better at predicting his plant’s amount
of production.
D. Based on MSE, Bahir Dar’s company Manager is better at predicting his plant’s amount
of production.

ANSWER: B
Which is true about critical ratio if CR>1?

A. The job is behind the schedule

B. The job is ahead of the schedule
C. The job is on schedule
D. The job has not been started yet

ANSWER: B
A set of jobs and their associated operation duration in corresponding machines, which are in
series, are given below and each job is processed first in machine one and then in machine two.
Assume the beginning of the schedule be at day zero and no job can be started before the
previous jobs are completed. If you are assigned as a scheduler to determine the priority of the
jobs and the scheduling performance, then find and estimate the following using Johnson’s rule.
Based on the above information, the optimal sequence is?
 Job Operation time on Operation time on
machine 1(in minutes) machine 2(in minutes)
A 3 6
B 5 2
C 1 2
D 7 5
ANSWER:

A. C A B D
B. C A D B
C. A B C D
D. C B A D

ANSWER: B
Based on the above information, the Make span is?

A. 18 minutes
B. 16 minutes
C. 19 minutes
D. 25 minutes

ANSWER: A

Daily demand for a product is 120 units with a standard deviation of 30 units. The review period
is 14 days and the lead-time is 7 days. At the time of review, 130 units were in the store. If only a
1% risk of stock out which is equivalent to the Z-value of 2.33 is acceptable, how many units
should be ordered?

A. 2710 units
B. 2000 units
C. 3100 units
D. 2840 units

ANSWER: A
Inventory control is most closely related to?

A. quality control
B. quality management
C. Machining control
D. material management

ANSWER: D
Which of the following is the output of MRP?
 A. Planned order schedule
B. Bill of materials
C. inventory status file
D. Master production schedule

ANSWER: A
A lower level of cycle inventory is always desirable because of.

A. Lower average flow time

B. Lower working capital requirements
C. Lower inventory holding costs
D. All of the above

ANSWER: D
Which statement is correct about the concept of EOQ?

A. The holding cost is greater than the ordering cost

B. The ordering cost is greater than the holding cost
C. The ordering cost is equal to the holding cost
D. Total inventory cost is equal to zero

ANSWER: C
Problems in learning, often related to communication in the supply chain and how the supply
chain is structured is the concept of?

A. Incentive obstacles
B. Behavioral obstacles
C. Pricing obstacles
D. Operational obstacle

ANSWER: B
The managerial lever that includes information sharing, changing of incentives, operational
improvements, and stabilization of pricing is.

A. Action-oriented lever
B. Relationship oriented lever
C. Supplier oriented lever
D. Customer oriented

ANSWER: A
Fleet management in logistics industries is essential to except?

A. Improve efficiency and productivity

B. Reduce cost, and enhance customer satisfaction
C. Enhance drivers’ safety and health
D. Protect any unethical activity

ANSWER: D
___________ is a warehouse sharing model that allows companies that have excess space in
their warehouses to share it with another company that needs extra space for inventory purposes?

A. Product warehouse
B. On demand warehouse
C. Automated warehouse
D. Material warehouse

ANSWER: B
__________ systems are composed of software programs that tie together all of an enterprise’s
various functions?

A. MRP
B. ERP
C. MPS
D. EPS

ANSWER: B
Identify the logical sequence of MRP explosion process: (1) Net Requirement, (2) Projected
Available Balance (3) Planned Order Release (4) Scheduled Receipts (5) Gross Requirement,
and (6) Planned Order Receipts?

A. 1-5-4-3-6-2
B. 5-4-2-1-6-3
C. 5-4-1-2-6-3
D. 5-4-2-1-3-6

ANSWER: B
Which of the following is related to the time it takes to finish all jobs?

A. Critical Ratio
B. Make Span
C. Slack
 D. Job Flow Time
ANSWER: B
Which statement is true about temporal aggregation?

A. Temporal aggregation is the process of combining orders across time

B. Temporal aggregation reduces transportation cost
C. Temporal aggregation reduces customer responsiveness
D. All
ANSWER: D
A supply chain which includes the distribution of finished product and service?

A. Outbound logistics
B. Inbound logistics
C. Supply of goods
D. Transportation
ANSWER:
The occurrence of degeneracy while solving a transportation problem means that?

A. Total supply equals total demand

B. The solution so obtained is not feasible
C. The few allocations become negative
D. None of the above

ANSWER: B

In graphical representation the bounded region is known as _________ region.

A. Solution
B. Basic solution
C. Feasible solution
D. Optimal
ANSWER: C