Question 1

Simple exponential smoothing is being used to forecast demand.The previous forecast of 66 turned out to be 3 units less than actual demand.The next forecast is 66.6,implying a smoothing constant,alpha,equal to:

Accepted Answer

A)  01
B)  10
C)  15
D)  20
E)  60F) B) and D)
G) A) and B)

Question 2

The two most important factors in choosing a forecasting technique are:

Accepted Answer

A)  cost and time horizon.
B)  accuracy and time horizon.
C)  cost and accuracy.
D)  accuracy and buy-in.
E)  cost and ease of use.F) A) and C)
G) B) and E)

Question 3

Professor Z needs to allocate time among several tasks next week to include time for students' appointments.Thus,he needs to forecast the number of students who will seek appointments.He has gathered the following data:  What is this week's forecast using the least squares trend line for these data?

Accepted Answer

A)  49
B)  50
C)  52
D)  65
E)  78F) None of the above
G) B) and D)

Question 4

A firm has been using the following equation to predict annual demand for helix gears:
Yt = 55 + 4t
Demand for the past few years is shown below.Is the forecast performing as well as it might?
Explain.
 11eab92b_c4ad_ad9d_99e6_09a626e80ed2

Accepted Answer

[The student must recognize that either ...

Question 5

Which of the following might be used to forecast the cyclical component of a time series?

Accepted Answer

A)  An associated leading variable
B)  Centred moving average (CM
A)  
C)  Delphi technique
D)  Exponential smoothing
E)  Seasonal relativesF) A) and B)
G) A) and E)

Question 6

For the data given below,if the time series was assumed to be stable,what would the naive forecast be for the next period? 11eab92b_c4aa_520b_99e6_515bc8f703b6

Accepted Answer

A)  58
B)  62
C)  59.5
D)  61
E)  60.5 Stable series.F) A) and D)
G) A) and C)

Question 7

In order to update a moving average forecast,the values of each data point in the average must be known.

Accepted Answer

A) True 
 B)False

Question 8

Forecasts are rarely perfect.

Accepted Answer

A) True 
 B)False

Question 9

Which would not generally be considered a feature common to all forecasts?

Accepted Answer

A)  An assumption of a stable underlying causal system.
B)  Actual results will differ somewhat from predicted values.
C)  Historical data is available on which to base the forecast.
D)  Forecasts for groups of items tend to be more accurate than forecasts for individual items.
E)  Accuracy decreases as the time horizon increases.F) A) and D)
G) B) and E)

Question 10

Given an actual demand of 57,a previous forecast of 62,and an alpha of .3,what would the forecast for the next period be using simple exponential smoothing?

Accepted Answer

A)  36.9
B)  57.5
C)  60.5
D)  62.5
E)  65.5F) A) and B)
G) A) and C)

Question 11

A manager is using exponential smoothing to predict merchandise returns at a suburban branch of a department store chain.Given a previous forecast of 140 items,an actual number of returns of 148 items,and a smoothing constant equal to .15,what is the forecast for the next period?

Accepted Answer

F new = Fold + a (ac...

Question 12

In order to increase the responsiveness of a forecast made using the moving average technique,the number of data points in the average should be:

Accepted Answer

A)  decreased.
B)  increased.
C)  multiplied by a larger alpha.
D)  multiplied by a smaller alpha.
E)  divided by alpha.F) A) and B)
G) B) and E)

Question 13

Given the following historical data,what is the simple three-period moving average forecast for period 6? 11eab92b_c4aa_520c_99e6_b5ddfd1d6a27

Accepted Answer

A)  67
B)  115
C)  69
D)  68
E)  68.67F) A) and B)
G) All of the above

Question 14

MAD is equal to the square root of MSE.

Accepted Answer

A) True 
 B)False

Question 15

A company has been using exponential smoothing with an alpha of .2 to forecast weekly truck sales.Given the data below,would a naive forecast have provided greater accuracy? Explain.Assume an initial exponential forecast of 60 units in period 2 .
 11eab92b_c4ad_3862_99e6_b1c0d5c94e26

Accepted Answer

<img  loading="lazy" src="/assets/images/blured-textbook.svg" class="d-inline m-1" alt="blured image" width="139" height="30">_TB6896_00 [Use either MAD or ...

Question 16

11eab92b_c4ae_70fb_99e6_f136709b4c31 What are this and next year's forecasts using the least squares trend line for these data?

Accepted Answer

The answer of 11eab92b_c4ae_70fb_99e6_f136709b4c31 What are this and next year's...

Question 17

The Delphi approach involves the use of a series of questionnaires to achieve a consensus forecast.

Accepted Answer

A) True 
 B)False

Question 18

A company is conducting long-term planning of which types of services they should offer.Which of the following forecasting techniques are they most likely to use?

Accepted Answer

A)  Trend models
B)  Executive opinion
C)  Regression models
D)  Simple exponential smoothing
E)  Naïve methodF) A) and C)
G) A) and B)

Question 19

Generally the responsibility for preparing demand forecasts for finished goods or services lies with operations rather than marketing or sales departments.

Accepted Answer

A) True 
 B)False

Question 20

Which of the following is not a type of judgmental forecasting?

Accepted Answer

A)  Executive opinions
B)  Sales force opinions
C)  Consumer surveys
D)  Expert opinions
E)  Time series analysisF) C) and D)
G) A) and B)

Exam 3: Demand Forecasting

A manager is using exponential smoothing to predict merchandise returns at a suburban branch of a department store chain.Given a previous forecast of 140 items,an actual number of returns of 148 items,and a smoothing constant equal to .15,what is the forecast for the next period?

Correct AnswerverifiedF new = Fold + a (ac...View AnswerShow Answer

11eab92b_c4ae_70fb_99e6_f136709b4c31 What are this and next year's forecasts using the least squares trend line for these data?

Correct AnswerverifiedShow Answer

Simple exponential smoothing is being used to forecast demand.The previous forecast of 66 turned out to be 3 units less than actual demand.The next forecast is 66.6,implying a smoothing constant,alpha,equal to:

Correct AnswerverifiedShow Answer

For the data given below,if the time series was assumed to be stable,what would the naive forecast be for the next period? 11eab92b_c4aa_520b_99e6_515bc8f703b6

Correct AnswerverifiedShow Answer

Generally the responsibility for preparing demand forecasts for finished goods or services lies with operations rather than marketing or sales departments.

Correct AnswerverifiedShow Answer

In order to update a moving average forecast,the values of each data point in the average must be known.

Correct AnswerverifiedShow Answer

Forecasts are rarely perfect.

Correct AnswerverifiedShow Answer

A company is conducting long-term planning of which types of services they should offer.Which of the following forecasting techniques are they most likely to use?

Correct AnswerverifiedShow Answer

The two most important factors in choosing a forecasting technique are:

Correct AnswerverifiedShow Answer

A firm has been using the following equation to predict annual demand for helix gears: Yt = 55 + 4t Demand for the past few years is shown below.Is the forecast performing as well as it might? Explain. 11eab92b_c4ad_ad9d_99e6_09a626e80ed2

Correct Answerverified[The student must recognize that either ...View AnswerShow Answer

MAD is equal to the square root of MSE.

Correct AnswerverifiedShow Answer

Which of the following might be used to forecast the cyclical component of a time series?

Correct AnswerverifiedShow Answer

Given an actual demand of 57,a previous forecast of 62,and an alpha of .3,what would the forecast for the next period be using simple exponential smoothing?

Correct AnswerverifiedShow Answer

Given the following historical data,what is the simple three-period moving average forecast for period 6? 11eab92b_c4aa_520c_99e6_b5ddfd1d6a27

Correct AnswerverifiedShow Answer

Which of the following is not a type of judgmental forecasting?

Correct AnswerverifiedShow Answer

Professor Z needs to allocate time among several tasks next week to include time for students' appointments.Thus,he needs to forecast the number of students who will seek appointments.He has gathered the following data: What is this week's forecast using the least squares trend line for these data?

Correct AnswerverifiedShow Answer

A company has been using exponential smoothing with an alpha of .2 to forecast weekly truck sales.Given the data below,would a naive forecast have provided greater accuracy? Explain.Assume an initial exponential forecast of 60 units in period 2 . 11eab92b_c4ad_3862_99e6_b1c0d5c94e26

Correct Answerverified_TB6896_00 [Use either MAD or ...View AnswerShow Answer

Which would not generally be considered a feature common to all forecasts?

Correct AnswerverifiedShow Answer

The Delphi approach involves the use of a series of questionnaires to achieve a consensus forecast.

Correct AnswerverifiedShow Answer

In order to increase the responsiveness of a forecast made using the moving average technique,the number of data points in the average should be:

Correct AnswerverifiedShow Answer

Correct Answer
verified
F new = Fold + a (ac...
View Answer

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

A firm has been using the following equation to predict annual demand for helix gears: Y_t = 55 + 4t Demand for the past few years is shown below.Is the forecast performing as well as it might? Explain. 11eab92b_c4ad_ad9d_99e6_09a626e80ed2

Correct Answer
verified
[The student must recognize that either ...
View Answer

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified
_TB6896_00 [Use either MAD or ...
View Answer

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified