Winters' Model Differs from Holt's Model and Simple Exponential Smoothing

question 33

Multiple Choice

Winters' model differs from Holt's model and simple exponential smoothing in that it includes an index for

• A)seasonality.
• B)trend.
• C)residuals.
• D)cyclical fluctuations.

---

Definitions:

Fixed Overhead Budget Variance

The difference between the actual fixed overhead costs incurred and the fixed overhead costs that were budgeted.

Standard Machine-Hours

The estimated hours a machine is expected to operate under normal conditions.

Variable Overhead Efficiency Variance

The difference between the standard cost of variable overhead allocated for the actual output and the actual variable overhead incurred, reflecting efficiency in using resources.

Standard Machine-Hours

A predetermined measure of how many hours of machine time should be used for a given level of production output.