While Developing a Forecast of Sales for 1979-80, ABC Company

question 78

True/False

While developing a forecast of sales for 1979-80, ABC Company managers felt that events in the recent past had a much higher similarity to the expected future conditions than those in the more distant past.Assuming that this premise is correct, exponential smoothing would provide a better forecast than a simple moving average.

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Definitions:

Gordon Allport

An American psychologist, one of the founding figures of personality psychology known for his trait theory of personality.

Sigmund Freud

The founding father of psychoanalysis, a method for treating psychopathology through dialogue between a patient and a psychoanalyst.

Trait Approach

A perspective in psychology that emphasizes the identification and measurement of specific personality characteristics or traits.

Social-cognitive

A theory of psychology that emphasizes the role of observational learning, embodiment of social experiences, and cognitive processes in understanding and changing behavior.