A Company Wants to Forecast Demand Using the Simple Moving

question 37

Multiple Choice

A company wants to forecast demand using the simple moving average.The company uses four positive prior yearly (2013, 2014, 2105 and 2016) sales values.All yearly sales figures are unique (no repetitions) .Which of the following is most accurate about the moving average forecast for year 2017?

• A)Has to be smaller than at least one of the four yearly sales figures.
• B)Has to be larger than at least one of the four yearly sales figures.
• C)Has to be between the smallest and largest yearly sales figures.
• D)Has to greater than all four yearly sales figures.
• E)A, B and C only

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Definitions:

Sensory Deprivation

Sensory deprivation is the intentional reduction or removal of stimuli from one or more of the senses, which can lead to unique cognitive and perceptual experiences.

Visual Hallucinations

Perceptions of seeing something that is not present in reality, often occurring in conditions affecting the brain such as schizophrenia or Parkinson's disease.

Signal Detection Theory

A means to quantify the ability to discern between information-bearing patterns and random patterns that distract from the information.

Response Bias

A wide range of cognitive biases that influence the responses of participants away from an accurate or truthful response.