Identify Two Advantages of the Moving Average Forecasting Model

question 146

Essay

Identify two advantages of the moving average forecasting model. Identify two disadvantages of the moving average forecasting model.

Differentiate between continuous review and periodic review inventory policies.

Calculate safety inventory and reorder points (ROP) for given demand distributions.

Comprehend how inventory policies affect product availability measures.

Understand the relationship between lot size reduction, fixed order cost, and optimal lot size.

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Definitions:

Positive

Characterized by the presence or possession of features or qualities rather than their absence.

Negative

A term often used to denote the absence or opposition of a condition, quality, or action.

Reinforcement

In psychology, a process in which a behavior is strengthened by the outcome that follows it, either through a positive reinforcement or the removal of a negative stimulus.

Shaping

A method of conditioning by which successive approximations toward a target behavior are reinforced, used in both animal training and therapeutic settings.