Question 1

When error values fall outside the limits of a control chart,this signals a need for corrective action

Accepted Answer

A) True 
 B)False  True

Question 2

Exponential smoothing is a form of weighted averaging.

Accepted Answer

A) True 
 B)False

Question 3

What is this week's forecast using a three-week simple moving average?

Accepted Answer

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

Question 4

A proactive approach to forecasting views forecasts as probable descriptions of future demand,assuming actions can be taken to meet that demand.

Accepted Answer

A) True 
 B)False

Question 5

Which phrase most closely describes the Delphi technique?

Accepted Answer

A)   Associative forecast
B)   Consumer survey
C)   Series of questionnaires
D)   Double smoothing
E)   Historical dataF) A) and E)
G) B) and D)

Question 6

A managerial approach toward forecasting which seeks to actively influence demand is:

Accepted Answer

A)   reactive.
B)   proactive.
C)   reflexive.
D)   protracted.
E)   retroactive.F) A) and E)
G) B) and E)

Question 7

What is the forecast for this year using exponential smoothing with alpha = .4,if the forecast for TWO years ago was 750?

Accepted Answer

A)   163
B)   180
C)   300
D)   420
E)   510F) C) and D)
G) A) and E)

Question 8

One reason for using the Delphi method in forecasting is:

Accepted Answer

A)   responses are anonymous.
B)   to achieve a high degree of accuracy.
C)   to maintain accountability and responsibility.
D)   to be able to replicate results.
E)   all of the choices are reasons.F) A) and B)
G) A) and C)

Question 9

Develop a forecast for the next period,given the data below,using a 3-period moving average.

Accepted Answer

The answer of Develop a forecast for the next period,given...

Question 10

Using control charts to monitor forecast error are best suited for forecasting applications involving a single forecast rather than applications involving a series of forecasts (e.g.monthly sales).

Accepted Answer

A) True 
 B)False

Question 11

What is this month's forecast using the least squares trend line for these data?

Accepted Answer

A)   1,250
B)   128.6
C)   102
D)   158
E)   164F) C) and E)
G) None of the above

Question 12

-What is this year's forecast using a four-year simple moving average?

Accepted Answer

The answer of 
-What is this year's forecast using a...

Question 13

What is the forecast for this year using the naive approach?

Accepted Answer

A)   163
B)   180
C)   100
D)   420
E)   510F) A) and C)
G) All of the above C

Question 14

What is the forecast for this year using the least squares trend line for these data?

Accepted Answer

A)   163
B)   180
C)   300
D)   420
E)   510F) C) and E)
G) A) and D)

Question 15

Use of simple linear regression analysis assumes that :
I.Variations around the line are random.
II.Deviations around the line are normally distributed.
III.Predictions are to be made only within the range of observed values of the predictor variable.

Accepted Answer

A)   I only
B)   II only
C)   III only
D)   II and II only
E)   I, II, and IIIF) A) and E)
G) A) and B)

Question 16

Multiple regression procedures permit us to extend associative models to relationships that involve more than one predictor variable.

Accepted Answer

A) True 
 B)False

Question 17

Given the following data,develop a linear regression model for y as a function of x.

Accepted Answer

The answer of Given the following data,develop a linear regression...

Question 18

Forecasts are rarely perfect.

Accepted Answer

A) True 
 B)False

Question 19

Positive forecast errors,the case when the forecast is low relative to the actual value,are preferable to negative forecast errors,the case when the forecast is higher than the actual value

Accepted Answer

A) True 
 B)False  False

Question 20

All of the following are true about forecasts EXCEPT:

Accepted Answer

A)   become less accurate with longer time horizons.
B)   are less accurate for individual items than for groups of items.
C)   are always perfect.
D)   are usually the responsibility of operating managers to prepare.
E)   assume the same underlying causal system in the future as the past.F) A) and C)
G) A) and E)

Exam 3: Demand Forecasting

When error values fall outside the limits of a control chart,this signals a need for corrective action

Correct AnswerverifiedTrue

Exponential smoothing is a form of weighted averaging.

Correct AnswerverifiedShow Answer

What is this week's forecast using a three-week simple moving average?

Correct AnswerverifiedShow Answer

A proactive approach to forecasting views forecasts as probable descriptions of future demand,assuming actions can be taken to meet that demand.

Correct AnswerverifiedShow Answer

Which phrase most closely describes the Delphi technique?

Correct AnswerverifiedShow Answer

A managerial approach toward forecasting which seeks to actively influence demand is:

Correct AnswerverifiedShow Answer

What is the forecast for this year using exponential smoothing with alpha = .4,if the forecast for TWO years ago was 750?

Correct AnswerverifiedShow Answer

One reason for using the Delphi method in forecasting is:

Correct AnswerverifiedShow Answer

Develop a forecast for the next period,given the data below,using a 3-period moving average.

Correct AnswerverifiedShow Answer

Using control charts to monitor forecast error are best suited for forecasting applications involving a single forecast rather than applications involving a series of forecasts (e.g.monthly sales).

Correct AnswerverifiedShow Answer

What is this month's forecast using the least squares trend line for these data?

Correct AnswerverifiedShow Answer

-What is this year's forecast using a four-year simple moving average?

Correct AnswerverifiedShow Answer

What is the forecast for this year using the naive approach?

Correct AnswerverifiedC

What is the forecast for this year using the least squares trend line for these data?

Correct AnswerverifiedShow Answer

Use of simple linear regression analysis assumes that : I.Variations around the line are random. II.Deviations around the line are normally distributed. III.Predictions are to be made only within the range of observed values of the predictor variable.

Correct AnswerverifiedShow Answer

Multiple regression procedures permit us to extend associative models to relationships that involve more than one predictor variable.

Correct AnswerverifiedShow Answer

Given the following data,develop a linear regression model for y as a function of x.

Correct AnswerverifiedShow Answer

Forecasts are rarely perfect.

Correct AnswerverifiedShow Answer

Positive forecast errors,the case when the forecast is low relative to the actual value,are preferable to negative forecast errors,the case when the forecast is higher than the actual value

Correct AnswerverifiedFalse

All of the following are true about forecasts EXCEPT:

Correct AnswerverifiedShow Answer

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True

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C

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