Comprehensive Study Guide and Formula Repository for EBC1029

Study guide for EBC1029

1. What the exam tends to test

From the past exams, the questions repeatedly fall into these blocks:

Strategy

Innovation

Processes

Structures / line balancing

Quality

Inventory

Sourcing

Logistics

Demand planning

MPS and MRP

A very practical way to study is this:

memorize the core terms

memorize the few formulas that appear often

learn the logic behind rounding

practice identifying which formula belongs to which question

2. Rounding rules you need to follow

These matter a lot because many exam answers depend on them.

Standard rounding

If the first omitted digit is 5 or more, round up

If it is less than 5, leave it

Examples:

2.44 -> 2.4

2.45 -> 2.5

Round only at the end

Unless the instructions say otherwise:

do not round intermediate steps

round the final answer only

When whole numbers are required

Use standard rounding to nearest integer for things like:

EOQ

units

counts of items

Example:

EOQ = 136.6 -> 137

When a minimum level must be guaranteed: always round up

Use this for:

target order quantity

required production capacity

theoretical number of workstations

service-level-based order quantities

Example:

4.06 workstations -> 5

42.26 magazines needed -> 43

3. Strategy

Key terms

Return on Assets (ROA)

Measures how much profit the company earns relative to its assets.

𝑅

𝑂

𝐴

=

Net Profit

Total Assets

ROA=

Total Assets

Net Profit

​

Net Profit Margin (NPM)

Shows how much profit is earned per euro of sales.

𝑁

𝑃

𝑀

=

Net Profit

Sales

NPM=

Sales

Net Profit

​

Asset Turnover (AT)

Shows how efficiently assets generate sales.

𝐴

𝑇

=

Sales

Total Assets

AT=

Total Assets

Sales