The Wilson Company Is Interested in Forecasting Demand for Its

question 43

Multiple Choice

The Wilson Company is interested in forecasting demand for its XG-667 product for quarter 13 based on 12 quarters of data. The following shows the data and the double exponential smoothing model results for periods 1-12 using alpha = 0.20 and beta = 0.40. Based on this information, what is the MAD value for quarters 2-12?

• A) About 56.3
• B) Approximately -16.7
• C) Approximately 71.2
• D) About 38.5

---

Definitions:

Interval Estimate

An estimate of a population parameter that is given as a range of values, offering a level of confidence in the estimate's accuracy.

Hypotheses Testing

A method of statistical inference that is used to decide whether the data at hand sufficiently support a particular hypothesis.

Senatorial Election

A political process through which individuals are elected to represent a state or equivalent entity in the senate.

Expected Value

The average of all possible outcomes of a random variable, weighted by their respective probabilities.