Question 1

Exponential smoothing forecasts always lag behind the actual occurrence but can be corrected somewhat with a trend adjustment.

Accepted Answer

A) True 
 B)False

Question 2

Regression is a functional relationship between two or more correlated variables,where one variable is used to predict another.

Accepted Answer

A) True 
 B)False

Question 3

What do we call forecasts needed for how a firm operates on a day-to-day basis? _______________________________________

Accepted Answer

Tactical Forecasts
Explanation: Forecast

Question 4

Describe the collaborative planning,forecasting and replenishment (CPFR)technique.

Accepted Answer

CPFR is described in the text.It is a sh

Question 5

A company wants to forecast demand using the weighted moving average.If the company uses two prior yearly sales values ,and we want to weight year 2012 at 10% and year 2013 at 90%,which of the following is the weighted moving average forecast for year 2014?

Accepted Answer

A)  120 
B)  128 
C)  133 
D)  138 
E)  142 
A)  120 
B)  128 
C)  133 
D)  138 
E)  142

Question 6

Which of the following considerations is not a factor in deciding which forecasting model a firm should choose?

Accepted Answer

A)  Time horizon to forecast 
B)  Product 
C)  Accuracy required 
D)  Data availability 
E)  Analyst availability 
A)  Time horizon to forecast 
B)  Product 
C)  Accuracy required 
D)  Data availability 
E)  Analyst availability

Question 7

A company has actual unit demand for three consecutive years of 124,126,and 135.The respective forecasts for the same three years are 120,120,and 130.Which of the following is the resulting MAD value that can be computed from this data?

Accepted Answer

A)  1 
B)  3 
C)  5 
D)  15 
E)  123 
A)  1 
B)  3 
C)  5 
D)  15 
E)  123

Question 8

A company has calculated its running sum of forecast errors to be 400 and its mean absolute deviation is exactly 25.What is the company's tracking signal? _________________________________

Accepted Answer

16
Explanation: Trac

Question 9

A company has calculated its running sum of forecast errors to be 1,000 and its tracking signal is 50.What is the company's mean absolute deviation? _________________________________

Accepted Answer

20
Explanation: Trac

Question 10

In exponential smoothing,it is desirable to use a higher smoothing constant when forecasting demand for a product experiencing high growth.

Accepted Answer

A) True 
 B)False

Question 11

You are using an exponential smoothing model for forecasting.The running sum of the forecast error statistics (RSFE)are calculated each time a forecast is generated.You find the last RSFE to be 34.Originally the forecasting model used was selected because it's relatively low MAD of 0.4.To determine when it is time to re-evaluate the usefulness of the exponential smoothing model you compute tracking signals.Which of the following is the resulting tracking signal?

Accepted Answer

A)  85 
B)  60 
C)  13.6 
D)  12.9 
E)  8 
A)  85 
B)  60 
C)  13.6 
D)  12.9 
E)  8

Question 12

Name the four basic types of forecasting.
1.______________________________
2.______________________________
3.______________________________
4.______________________________

Accepted Answer

(1 qualitative; (2 time series analysis;

Question 13

If a firm produced a standard item with relatively stable demand,the smoothing constant alpha (reaction rate to differences)used in an exponential smoothing forecasting model would tend to be in which of the following ranges?

Accepted Answer

A)  5 % to 10 % 
B)  20 % to 50 % 
C)  20 % to 80 % 
D)  60 % to 120 % 
E)  90 % to 100 % 
A)  5 % to 10 % 
B)  20 % to 50 % 
C)  20 % to 80 % 
D)  60 % to 120 % 
E)  90 % to 100 %

Question 14

Which of the following forecasting methods is very dependent on selection of the right individuals who will judgmentally be used to actually generate the forecast?

Accepted Answer

A)  Time series analysis 
B)  Simple moving average 
C)  Weighted moving average 
D)  Delphi method 
E)  Panel consensus 
A)  Time series analysis 
B)  Simple moving average 
C)  Weighted moving average 
D)  Delphi method 
E)  Panel consensus

Question 15

Bayesian analysis is the simplest way to choose weights for the weighted moving average forecasting model.

Accepted Answer

A) True 
 B)False

Question 16

Which of the following forecasting methodologies is considered a qualitative forecasting technique?

Accepted Answer

A)  Simple moving average 
B)  Market research 
C)  Linear regression 
D)  Exponential smoothing 
E)  Multiple regression 
A)  Simple moving average 
B)  Market research 
C)  Linear regression 
D)  Exponential smoothing 
E)  Multiple regression

Question 17

A company wants to forecast demand using the weighted moving average.If the company uses three prior yearly sales values ,and we want to weight year 2011 at 30%,year 2012 at 30% and year 2013 at 40%,which of the following is the weighted moving average forecast for year 2014?

Accepted Answer

A)  170 
B)  168 
C)  158 
D)  152 
E)  146 
A)  170 
B)  168 
C)  158 
D)  152 
E)  146

Question 18

Which of the following is a possible source of bias error in forecasting?

Accepted Answer

A)  Failing to include the right variables 
B)  Using the wrong forecasting method 
C)  Employing less sophisticated analysts than necessary 
D)  Using incorrect data 
E)  Using standard deviation rather than MAD 
A)  Failing to include the right variables 
B)  Using the wrong forecasting method 
C)  Employing less sophisticated analysts than necessary 
D)  Using incorrect data 
E)  Using standard deviation rather than MAD

Question 19

A tracking signal (TS)can be calculated using the arithmetic sum of forecast deviations divided by the MAD.

Accepted Answer

A) True 
 B)False

Question 20

Which of the following forecasting methodologies is considered a time series forecasting technique?

Accepted Answer

A)  Delphi method 
B)  Exponential averaging 
C)  Simple movement smoothing 
D)  Weighted moving average 
E)  Simulation 
A)  Delphi method 
B)  Exponential averaging 
C)  Simple movement smoothing 
D)  Weighted moving average 
E)  Simulation

Exponential smoothing forecasts always lag behind the actual occurrence but can be corrected somewhat with a trend adjustment.

Regression is a functional relationship between two or more correlated variables,where one variable is used to predict another.

What do we call forecasts needed for how a firm operates on a day-to-day basis? _______________________________________

Describe the collaborative planning,forecasting and replenishment (CPFR)technique.

A company wants to forecast demand using the weighted moving average.If the company uses two prior yearly sales values ,and we want to weight year 2012 at 10% and year 2013 at 90%,which of the following is the weighted moving average forecast for year 2014?

Which of the following considerations is not a factor in deciding which forecasting model a firm should choose?

A company has actual unit demand for three consecutive years of 124,126,and 135.The respective forecasts for the same three years are 120,120,and 130.Which of the following is the resulting MAD value that can be computed from this data?

A company has calculated its running sum of forecast errors to be 400 and its mean absolute deviation is exactly 25.What is the company's tracking signal? _________________________________

A company has calculated its running sum of forecast errors to be 1,000 and its tracking signal is 50.What is the company's mean absolute deviation? _________________________________

In exponential smoothing,it is desirable to use a higher smoothing constant when forecasting demand for a product experiencing high growth.

Name the four basic types of forecasting. 1. 2. 3. 4.

If a firm produced a standard item with relatively stable demand,the smoothing constant alpha (reaction rate to differences)used in an exponential smoothing forecasting model would tend to be in which of the following ranges?

Which of the following forecasting methods is very dependent on selection of the right individuals who will judgmentally be used to actually generate the forecast?

Bayesian analysis is the simplest way to choose weights for the weighted moving average forecasting model.

Which of the following forecasting methodologies is considered a qualitative forecasting technique?

A company wants to forecast demand using the weighted moving average.If the company uses three prior yearly sales values ,and we want to weight year 2011 at 30%,year 2012 at 30% and year 2013 at 40%,which of the following is the weighted moving average forecast for year 2014?

Which of the following is a possible source of bias error in forecasting?

A tracking signal (TS)can be calculated using the arithmetic sum of forecast deviations divided by the MAD.

Which of the following forecasting methodologies is considered a time series forecasting technique?

Operations and Supply Chain Management

Strategy and Sustainability

Strategic Capacity Management

Projects

Manufacturing and Service Processes

Service Processes

Sales and Operations Planning

Material Requirements Planning

Quality Management and Six Sigma

Inventory Management

Lean Supply Chains

Global Sourcing and Procurement

Location, Logistics, and Distribution

Filters

Exam 3: Forecasting

Exponential smoothing forecasts always lag behind the actual occurrence but can be corrected somewhat with a trend adjustment.

Regression is a functional relationship between two or more correlated variables,where one variable is used to predict another.

What do we call forecasts needed for how a firm operates on a day-to-day basis? _______________________________________

Describe the collaborative planning,forecasting and replenishment (CPFR)technique.

A company wants to forecast demand using the weighted moving average.If the company uses two prior yearly sales values ,and we want to weight year 2012 at 10% and year 2013 at 90%,which of the following is the weighted moving average forecast for year 2014?

Which of the following considerations is not a factor in deciding which forecasting model a firm should choose?

A company has actual unit demand for three consecutive years of 124,126,and 135.The respective forecasts for the same three years are 120,120,and 130.Which of the following is the resulting MAD value that can be computed from this data?

A company has calculated its running sum of forecast errors to be 400 and its mean absolute deviation is exactly 25.What is the company's tracking signal? _________________________________

A company has calculated its running sum of forecast errors to be 1,000 and its tracking signal is 50.What is the company's mean absolute deviation? _________________________________

In exponential smoothing,it is desirable to use a higher smoothing constant when forecasting demand for a product experiencing high growth.

Name the four basic types of forecasting. 1.______________________________ 2.______________________________ 3.______________________________ 4.______________________________

If a firm produced a standard item with relatively stable demand,the smoothing constant alpha (reaction rate to differences)used in an exponential smoothing forecasting model would tend to be in which of the following ranges?

Which of the following forecasting methods is very dependent on selection of the right individuals who will judgmentally be used to actually generate the forecast?

Bayesian analysis is the simplest way to choose weights for the weighted moving average forecasting model.

Which of the following forecasting methodologies is considered a qualitative forecasting technique?

A company wants to forecast demand using the weighted moving average.If the company uses three prior yearly sales values ,and we want to weight year 2011 at 30%,year 2012 at 30% and year 2013 at 40%,which of the following is the weighted moving average forecast for year 2014?

Which of the following is a possible source of bias error in forecasting?

A tracking signal (TS)can be calculated using the arithmetic sum of forecast deviations divided by the MAD.

Which of the following forecasting methodologies is considered a time series forecasting technique?

Operations and Supply Chain Management

Strategy and Sustainability

Strategic Capacity Management

Projects

Manufacturing and Service Processes

Service Processes

Sales and Operations Planning

Material Requirements Planning

Quality Management and Six Sigma

Inventory Management

Lean Supply Chains

Global Sourcing and Procurement

Location, Logistics, and Distribution

Filters

Name the four basic types of forecasting. 1. 2. 3. 4.