Industrial Engineering & Production Management Test MCQ Solved Paper for GATE

1. Gantt chart gives information about
A. Scheduling and routing
B. Sales
C. Production schedule
D. Machine utilisation
Answer : C

2. Which one of the following techniques is used for determining allowances in time study?
A. Acceptance sampling
B. Linear regression
C. Performance rating
D. Work sampling
Answer : D

3. Which of the following organisations is best suited for steel plants
A. Functional organisation
B. Line organisation
C. Staff organisation
D. Line, staff and functional organisations
Answer : D

4. Pessimistic time is
A. The maximum time which an activity might require
B. The average time required for a job
C. The most probable time considering all conditions
D. The minimum time in which an activity can possibly be accomplished
Answer : A

5. Direct expenses include
A. Factory expenses
B. Selling expenses
C. Administrative expenses
D. None of these
Answer : D

6. Which of the following organisation is preferred in automobile industry?
A. Functional organisation
B. Line organisation
C. Staff organisation
D. Line and staff organisations
Answer : D

7. Breakeven point is the point where
A. Fixed and variable cost lines intersect
B. Fixed and total cost lines intersect
C. Variable and total cost lines intersect
D. Sales revenue and total expensive lines intersect
Answer : D

8. Which of the following wage incentive plan guarantees minimum wage to a worker and bonus is paid for the fixed percentage of time saved?
A. Halsey plan
B. Gantt plan
C. Rowan plan
D. Emerson's efficiency plan
Answer : A

9. O on a PERT/CPM chart represents
A. An ordinary event
B. A significant event representing some milestone
C. An event to be transferred to other network chart
D. Dangling event
Answer : A

10. A company spends considerable amount on publicity to promote sales. This expenditure in break even chart is shown below the
A. Fixed cost line
B. Variable cost line
C. Total cost line
D. Sales revenue line
Answer : B

11. The appellate authority for an industrial dispute is
A. Management
B. Labour court
C. High court/supreme court
D. Board of directors
Answer : C

12. The critical path of a network represents
A. The minimum time required for completion of project
B. The maximum time required for completion of project
C. Maximum cost required for completion of project
D. Minimum cost required for completion of project
Answer : A

13. An event is indicated on the network by
A. A straight line
B. A number enclosed in a circle or a square
C. A straight line with circles at the ends
D. A dotted line
Answer : B

14. In which of the following layouts, the lines need to the balanced
A. Process layout
B. Product layout
C. Fixed position layout
D. Plant layout
Answer : B

15. The essential condition for the decompression of an activity is that
A. The project time should change due to decompression
B. After decompression the time of an activity invariably exceeds its normal time
C. An activity could be decompressed to the maximum extent of its normal time
D. None of the above
Answer : C

16. Critical path on PERT/CPM chart is obtained by joining the events having
A. Maximum slack
B. Minimum slack
C. Average slack
D. No slack
Answer : B

17. The purpose of micro-motion study is to
A. Assist in finding out the most efficient way of doing work
B. Train the individual operator regarding the motion economy principles
C. Help in collecting the motion time data for synthetic time standards
D. All of the above
Answer : D

18. The procedure of modifying work content to give more meaning and enjoyment to the job by involving employees in planning, organisation and control of their work, is termed as
A. Job enlargement
B. Job enrichment
C. Job rotation
D. Job evaluation
Answer : B

19. Breakeven analysis is a
A. Short term analysis
B. Long term analysis
C. Average of short and long term analysis
D. Any one of these
Answer : A

20. Military type of organisation is known as
A. Line organisation
B. Functional organisation
C. Line and staff organisation
D. Line, staff and functional organisation
Answer : A

21. In steel plant the most important system for materials handling is
A. Conveyors
B. Cranes and hoists
C. Trucks
D. Locos
Answer : D

22. In Lincoln plan (one type of group incentive plan), the amount of the profit which an employee receives in addition to the guaranteed basic pay/wages, is based on:
A. A standard rating system
B. A merit rating system
C. A job evaluation system
D. His individual performance
Answer : B

23. Breakeven analysis consists of
A. Fixed cost
B. Variable cost
C. Fixed and variable costs
D. Operation costs
Answer : C

24. For ship vessel industry the following layout is best suited
A. Process layout
B. Product layout
C. Fixed position layout
D. Plant layout
Answer : C

25. The main disadvantage of line organisation is
A. Top level executives have to do excessive work
B. Structure is rigid
C. Communication delays occur
D. All of the above
Answer : D

26. Critical Path Net Work helps an engineer
A. To concentrate his attention on critical activities
B. To divert the resources from noncritical advanced activities to critical activities
C. To be cautious for avoiding any delay in the critical activities to avoid delay of the whole project
D. All of the above
Answer : D

27. Routing assists engineers in deciding in advance
A. The flow of material in the plant
B. The methods of proper utilization of manpower
C. The methods of proper utilization of machines
D. The layout of factory facilities
Answer : C

28. In the Halsey 50-50 plan, the following are rewarded more
A. Past good workers
B. Past poor workers
C. Past average workers
D. All of the above
Answer : B

29. Which of the following statement is correct?
A. When slack of an activity is zero, it falls only on critical path.
B. CPM technique is useful to minimise the direct and indirect expenses.
C. Critical path of a net work represents the minimum time required for completion of project.
D. All of the above
Answer : D

30. Critical path moves along the activities having total float of
A. Positive value
B. Negative value
C. Zero value
D. Same value
Answer : C

31. Statistical quality control techniques are based on the theory of
A. Quality
B. Statistics
C. Probability
D. All of the above
Answer : C

32. The breakeven point represents
A. The most economical level of operation of any industry
B. The time when unit can run without i loss and profit
C. Time when industry will undergo loss
D. The time when company can make maximum profits
Answer : C

33. Percent idle time for men or machines is found by
A. Work sampling
B. Time study
C. Method study
D. Work study
Answer : A

34. According to MAPI formula, the old machine should be replaced by new one when (CAM = Challenger's Adverse minimum DAM = Defender's Adverse minimum)
A. CAM < DAM
B. CAM > DAM
C. CAM = DAM
D. There is no such criterion
Answer : A

35. Which one of the following represents a group incentive plan?
A. Scanlon Plan
B. Rowan Plan
C. Taylor Differential Piece Rate System
D. Halsey Premium Plan
Answer : A

36. In ABC control policy, maximum attention is given to
A. Those items which consume money
B. Those items which are not readily available
C. Those × items which are in more demand
D. Those items which consume more money
Answer : D

37. In the Emerson efficiency plan, a worker receives only his daily wage and no bonus is paid till his efficiency reaches
A. 50 %
B. 66.67 %
C. 75 %
D. 80 %
Answer : B

38. Time study is carried out to determine the time required to complete job by
A. A slow worker
B. A fast worker
C. An average worker
D. An apprentice
Answer : C

39. Which of the following statement is wrong?
A. An activity consumes time and resources whereas an event does not consume time or resources.
B. The performance of a specific task is called an activity.
C. An event is an instantaneous point in time at which an activity begins or ends.
D. The turning of a job on lathe is an event whereas job turned is an activity.
Answer : D

40. An optimum project schedule implies
A. Optimum utilization of men, machines and materials
B. Lowest possible cost and shortest possible time for project
C. Timely execution of project
D. To produce best results under given constraints
Answer : B

41. A PERT network has three activities on critical path with mean time 3, 8 and 6 and standard deviations 1, 2 and 2 respectively. The probability that the project will be completed in 20 days is
A. 0.50
B. 0.66
C. 0.84
D. 0.95
Answer : C

42. Which of the following statement is correct about the network diagram?
A. The events are represented graphically by circles or nodes at the beginning and the end of activity by arrows.
B. The tail end of the arrow represents the start of an activity.
C. The head of the arrow represents the end of an activity.
D. All of the above
Answer : D

43. A big advantage of PERT over Gantt charts is that in the former case
A. Activities and events are clearly shown
B. Early start and late finish of an activity are clearly marked
C. Activity times are clear
D. Interrelationship among activities is clearly shown.
Answer : D

44. Which of the following are the guidelines for the construction of a network diagram?
A. Each activity is represented by one and only one arrow in the network
B. Dangling must be avoided in a network diagram
C. Dummy activity consumes no time or resource
D. All of the above
Answer : D

45. The basic difference between PERT and CPM is that
A. PERT deals with events and CPM with activities
B. Critical path is determined in PERT only
C. Costs are considered on CPM only and not in PERT
D. Guessed times are used in PERT and evaluated times in CPM
Answer : D

46. The start or completion of task is called
A. An event
B. An activity
C. A duration
D. None of these
Answer : A

47. 'Value' for value engineering and analysis purposes is defined as
A. Purchase value
B. Saleable value
C. Depreciated value
D. Function/cost
Answer : D

48. Discrepancies of bar chart techniques are
A. Consequential effects of lack in one activity on the finish date
B. Free time available for an activity can't be predicted
C. Effective monitoring/controlling can't be done
D. All of the above
Answer : D

49. Halsey plan of wage incentive
A. Is not applied to all level of workers
B. Is applied to all level of workers
C. Does not guarantee minimum wage
D. Is based upon efficiency of worker
Answer : B

50. The grouping of activities into organisational units is called
A. Corporate plans
B. Higher level management
C. Functional authority
D. Departmentation
Answer : D