If Forecast Errors Are Normally Distributed Then

question 45

Multiple Choice

If forecast errors are normally distributed then

• A)1 MAD = 1σ
• B)1 MAD ≈ 0.8 σ
• C)0.8 MAD ≈ 1σ
• D)1 MAD ≈ 1.96 σ

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Definitions:

Upper Specification Limit

The maximum acceptable value for a measurable parameter of a product, beyond which quality is deemed unacceptable.

Transaction Time

The amount of time it takes to complete a particular transaction, often used in computing and financial contexts.

Teller Windows

Service points in a bank where customers interact with tellers to conduct transactions, such as deposits, withdrawals, and account inquiries.

Inside Diameter

A measurement of the width across the inside of a hollow or cylindrical object.