Ch. 8 Forecasting Quiz fully
solved & updated
Judgment methods of forecasting should never be used with
quantitative forecasting methods. - answer false
A manager uses data on demand at time t-1 but not at time t to
predict the demand at time t+1. Which of the following best
describes this type of forecasting method.
A. exponential smoothing
B. naive forecasting
C. simple moving average
D. weighted moving average - answer weighted moving average
Assume that a time-series forecast is generated for future demand
and subsequently it is observed that the forecast method did not
accurately predict the actual demand. Specifically, the forecast
errors were found to be:
Mean absolute percent error = 10%
Cumulative sum of forecast errors = 0
Which one of the statements concerning this forecast is TRUE?
A.
The forecast has no bias and has a standard deviation of errors
equal to zero.
B.
The forecast has a positive bias and a positive standard deviation of
errors.
solved & updated
Judgment methods of forecasting should never be used with
quantitative forecasting methods. - answer false
A manager uses data on demand at time t-1 but not at time t to
predict the demand at time t+1. Which of the following best
describes this type of forecasting method.
A. exponential smoothing
B. naive forecasting
C. simple moving average
D. weighted moving average - answer weighted moving average
Assume that a time-series forecast is generated for future demand
and subsequently it is observed that the forecast method did not
accurately predict the actual demand. Specifically, the forecast
errors were found to be:
Mean absolute percent error = 10%
Cumulative sum of forecast errors = 0
Which one of the statements concerning this forecast is TRUE?
A.
The forecast has no bias and has a standard deviation of errors
equal to zero.
B.
The forecast has a positive bias and a positive standard deviation of
errors.
