The Wilson Company Is Interested in Forecasting Demand for Its

question 49

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, which of the following statements is true?

• A) If beta is changed to 0.20 and alpha remains at 0.20, the MAD for periods 2-12 is reduced.
• B) If beta is changed to 0.20 and alpha remains at 0.20, the forecast for period 13 is slightly reduced.
• C) The forecast bias for periods 2-12 is approximately 6.18.
• D) All of the above are true.

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The indigenous Polynesian people of mainland New Zealand, who have a rich culture with traditional language, mythology, crafts, and performing arts.

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