1. Which of the following statements is true with regard to uncertain variables in RSPE software?

Each uncertain variable must have a discrete probability distribution

Uncertain variables are input variables

The value of the uncertain variable is fixed during most simulation runs

Uncertain variables are output variables

All of the above

2. When applying simulation to a business problem, which of the following would commonly be an uncertain variable cell?

a. The total profit.

b. The holding cost per unit.

c. The demand.

d. All of the above.

e. None of the above.

3. When choosing a probability distribution in an RSPE simulation, it is important to:

check the similarity between the input data and the output data

use a trend chart to assess the validity of the distribution

test continuous distributions if the sample data is not discrete

run at least 1,000 simulation trials

carefully define the output cells