You Are Using an Exponential Smoothing Model for Forecasting

question 86

Multiple Choice

You are using an exponential smoothing model for forecasting.The running sum of the forecast error statistics (RSFE) are calculated each time a forecast is generated.You find the last RSFE to be 34.Originally, the forecasting model used was selected because of its relatively low MAD of 0.4.To determine when it is time to re-evaluate the usefulness of the exponential smoothing model, you compute tracking signals.Which of the following is the resulting tracking signal?

• A)85
• B)60
• C)13.6
• D)12.9
• E)8

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Service Department

A segment of an organization that does not directly produce goods but provides support services to other departments that do.

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Regression Analysis

A statistical method used to examine the relationship between a dependent variable and one or more independent variables.