Monte Carlo Simulations Applied to Queuing Problems Have What Advantage

question 5

Multiple Choice

Monte Carlo simulations applied to queuing problems have what advantage?

• A) simpler
• B) Arrival distribution does not need to be a Poisson distribution.
• C) Unloading rates can vary randomly.
• D) B and C
• E) A, B, and C

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Definitions:

Variable Costing

An accounting method that considers only the variable manufacturing costs as product costs, treating fixed manufacturing overhead as a period expense.

Total Product Cost

The complete cost associated with making or acquiring a product, including direct materials, direct labor, and overhead costs.

Variable Costing

An accounting method that only includes direct variable costs (costs that vary with production levels) in the cost of producing goods.

Absorption Costing

A technique in accounting that ensures all expenses related to production, including direct materials, direct labor, as well as variable and fixed overhead costs, are factored into the product’s cost.