Table 8.5 -Use the Information in Table 8.5. Using the Exponential Smoothing

question 103

Multiple Choice

Table 8.5

-Use the information in Table 8.5. Using the exponential smoothing method, with alpha equal to 0.2, what is the forecasted demand for November? Use an initial value for the forecast equal to 277 units.

• A) fewer than or equal to 260 units
• B) greater than 260 but fewer than or equal to 275 units
• C) greater than 275 but fewer than or equal to 285 units
• D) more than 285 units

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Definitions:

Market Position

The standing or rank of a company, product, or brand in a particular market, often relative to its competitors.

Reference Pricing

Psychological pricing strategy common in retailing goods for which consumers have an idea of what the price “should be.”

Price Lining

A pricing strategy where products or services are grouped into different price ranges to target various consumer segments.

Retail Goods

Products that are sold to the end consumer for personal or household use.