A Company Has Actual Unit Demand for Three Consecutive Years

question 45

Multiple Choice

A company has actual unit demand for three consecutive years of 124, 126, and 135. The respective forecasts for the same three years are 120, 120, and 130. Which of the following is the resulting MAD value that can be computed from these data?

• A) 1
• B) 3
• C) 5
• D) 15
• E) 123

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Definitions:

Negotiable Instrument

A documented promise to pay a certain sum of money, either when asked for or at a predetermined date.

Uniform Electronic Transactions Act

A legal framework adopted by some states that equates electronic signatures and records with paper ones, facilitating e-commerce and digital contracts.

Indorse

Indorse is an alternative spelling of endorse, typically referring to the act of signing the back of a negotiable instrument to make it payable to someone other than the designated payee.

Unattached Piece

A component or part that is not connected or associated with the main body or structure to which it could belong.