Exam 10: Sourcing and Supply Management

$280,000 Platinum Nugget uses a three-period weighted moving average to forecast demand,with a _t = 0.6,a_t−1 = 0.3,and a_t−2 = 0.1.What is the forecast for week 5?

Suppose your firm is about to launch a radically new product.The type of demand forecasting system you would most likely use is:

Zanda Corp.has been testing the performance of two different forecasting models to see which it should adopt for use.It wants to choose the model that has the smaller standard deviation of the forecast errors.Zanda should compare which of the following to make its choice?

A computer program that uses algorithms to learn by analyzing many different types of models applied to large amounts of data is called:

A company uses actual demand data to develop its seasonal indices.It has the data shown below for each quarter of the previous two years. What is the seasonal index for Quarter 1?

Apply regression to the data shown below.The forecast for next January's sales is:

Jones Corp.has noticed that sales of its product seem to be related to a variable it calls Gamma.It has developed the data shown below. Develop a simple linear regression from the data and tell Jones what the sales forecast will be if Jones expects Gamma to be 16.(Round your forecast to the nearest number of whole units.)

Convex Computer Company makes many different forecasts.Which of the following forecasts is probably the least accurate?

Alpha Company sold 2,000 widgets yesterday.It had forecasted sales of 1,900 units.Using exponential smoothing with a smoothing constant of 0.6,what is the forecast for today's sales of widgets?

Given the data below,what is the bias of these forecasts?

Jones Company had sales of $100,000 last week.The company had forecasted that sales would be $120,000.Using exponential smoothing with a smoothing constant of 0.2,what is the forecast for this week's sales?

The demand for housing is characterized by a regular pattern of increasing to a peak,then falling.When the demand reaches a low point,it then repeats the pattern.This pattern usually takes place over a three- to five-year period.This is an example of which type of demand pattern?

The table below shows quarterly sales data over four years.Using the average demand as the base,what is the seasonal index for the third quarter (Pick the answer that is closest to the correct number.)

Increasing the value of alpha (α)in an exponential smoothing model would produce which of the following results?

Designing postponable products has the potential to allow operations managers to:

Zanda Corp.has experienced demand in the last four years as shown below. What is the trend value (b)in the data? (Choose the closest answer.)

A company has the data shown in the chart below concerning its forecast performance over the past four time periods. Complete the chart and compute the MAD.

The city of Dallas would like to control the amount of traffic on a major tollway.One way to manage the demand is by:

Use the data below. A company has forecasted next year's demand to be 400.What is the seasonally adjusted forecast for Quarter 1? (Choose the closest answer.)

Assume that the forecast for the last period is FIT_t = 200 units,and recent experience suggests a likely sales increase of 10 units each period.Actual sales for the last period reached 230 units.Assume a smoothing coefficient of α = 0.20 and a trend smoothing coefficient of β = 0.10.What is the ADJUSTED forecast for the next period?