Question 1

The Buying Power Index is a widely employed measure of sales potential for business markets.

Accepted Answer

A) True 
 B)False  False

Question 2

Marketing analyst, Sharon Wilson, uses seasonal adjustments to improve the accuracy of her time series projections for the Ice Cream Palace Company. Given the following data, determine the seasonal index for the first quarter. (Within errors of rounding)  
 
Average Quarterly Sales - 78.69

Accepted Answer

A)  .69 
B)  .76 
C)  .84 
D)  .91 
E)  none of the above 
A)  .69 
B)  .76 
C)  .84 
D)  .91 
E)  none of the above C

Question 3

For best results, always seasonally adjust time series data.

Accepted Answer

A) True 
 B)False  False

Question 4

Soliciting the judgment of a group of experienced managers to obtain sales estimates for future time periods is known as:

Accepted Answer

A)  econometrics. 
B)  jury of executive opinion. 
C)  regression. 
D)  surveys of buying intentions. 
E)  naïve approach. 
A)  econometrics. 
B)  jury of executive opinion. 
C)  regression. 
D)  surveys of buying intentions. 
E)  naïve approach.

Question 5

The main consideration with forecasting by ____________ is that it is difficult to teach someone how to forecast using this method.

Accepted Answer

A)  sales force composite 
B)  jury of executive opinion 
C)  customer surveys 
D)  leading indicators 
E)  none of the above 
A)  sales force composite 
B)  jury of executive opinion 
C)  customer surveys 
D)  leading indicators 
E)  none of the above

Question 6

Seasonal adjustments to sales data:

Accepted Answer

A)  should always be used. 
B)  are rarely of value. 
C)  tend to complicate the sales forecasting process. 
D)  do not have to be used with annual data. 
E)  Answers c and d are correct. 
A)  should always be used. 
B)  are rarely of value. 
C)  tend to complicate the sales forecasting process. 
D)  do not have to be used with annual data. 
E)  Answers c and d are correct.

Question 7

Salespeople projecting sales volume for customers in their own territory is known as:

Accepted Answer

A)  jury of executive opinion. 
B)  sales force composite. 
C)  time series index. 
D)  regression. 
E)  naïve approach. 
A)  jury of executive opinion. 
B)  sales force composite. 
C)  time series index. 
D)  regression. 
E)  naïve approach.

Question 8

All of the following are factors in devising a Buying Power Index except:

Accepted Answer

A)  percentage of disposable personal income. 
B)  percentage of industrial sales. 
C)  percentage of retail sales. 
D)  percentage of U.S. population. 
E)  all of the above. 
A)  percentage of disposable personal income. 
B)  percentage of industrial sales. 
C)  percentage of retail sales. 
D)  percentage of U.S. population. 
E)  all of the above.

Question 9

A limitation of simple regression forecasting is the assumption that sales follow a linear pattern.

Accepted Answer

A) True 
 B)False

Question 10

When using an exponential smoothing constant of 0.85, forecasts tend to:

Accepted Answer

A)  lag behind. 
B)  overestimate sales at turning points. 
C)  be identical to naïve forecasts. 
D)  both a and c are correct. 
E)  none of the above. 
A)  lag behind. 
B)  overestimate sales at turning points. 
C)  be identical to naïve forecasts. 
D)  both a and c are correct. 
E)  none of the above.

Question 11

Sales force composite methods involve regression analysis.

Accepted Answer

A) True 
 B)False

Question 12

The forecasting method which assumes nothing is going to change and the best estimate for the future is the current level of sales is known as the:

Accepted Answer

A)  trend projection. 
B)  moving average. 
C)  exponential smoothing. 
D)  naïve approach. 
E)  linear regression analysis. 
A)  trend projection. 
B)  moving average. 
C)  exponential smoothing. 
D)  naïve approach. 
E)  linear regression analysis.

Question 13

Using the following data, what is the season index number for period 3?

Accepted Answer

A)  0.86 
B)  0.97 
C)  1.56 
D)  2.33 
E)  None of the above (answer is 1.16) 
A)  0.86 
B)  0.97 
C)  1.56 
D)  2.33 
E)  None of the above (answer is 1.16)

Question 14

NAICS stands for:

Accepted Answer

A)  North American Industry Classification System. 
B)  National Annual Industrial Classification System. 
C)  North American Independent Classification System. 
D)  National Annual Industry Classification System. 
E)  North American Industry Category System. 
A)  North American Industry Classification System. 
B)  National Annual Industrial Classification System. 
C)  North American Independent Classification System. 
D)  National Annual Industry Classification System. 
E)  North American Industry Category System.

Question 15

Exponential smoothing assumes that the future will be an average of past achievements.

Accepted Answer

A) True 
 B)False

Question 16

Forecasts prepared with the percentage rate of change approach will normally be higher or lower than those obtained by other projective techniques.

Accepted Answer

A) True 
 B)False

Question 17

Use the following data to find the MAPE for periods 2 through 4:

Accepted Answer

A)  4.34% 
B)  4.16% 
C)  3.33% 
D)  2.50% 
E)  none of the above 
A)  4.34% 
B)  4.16% 
C)  3.33% 
D)  2.50% 
E)  none of the above

Question 18

Predictions of the actual volume that is expected in a future time period can best be expressed as:

Accepted Answer

A)  econometrics. 
B)  regression. 
C)  sales potential. 
D)  forecasting. 
E)  none of the above. 
A)  econometrics. 
B)  regression. 
C)  sales potential. 
D)  forecasting. 
E)  none of the above.

Question 19

Which of the following is/are true regarding moving averages?

Accepted Answer

A)  Crucial to the success of the forecast is determining the ideal number of periods to include in the average. 
B)  Large numbers of periods make the forecast react quickly to changes in a series. 
C)  All periods are weighted equally, and this speeds up reaction to changes in a series. 
D)  Two of the above, and they are b and 
E)  All of the above. 
A)  Crucial to the success of the forecast is determining the ideal number of periods to include in the average. 
B)  Large numbers of periods make the forecast react quickly to changes in a series. 
C)  All periods are weighted equally, and this speeds up reaction to changes in a series. 
D)  Two of the above, and they are b and 
E)  All of the above.

Question 20

"MAPE" stands for Mean Absolute Percentage Exponentiation.

Accepted Answer

A) True 
 B)False

The Buying Power Index is a widely employed measure of sales potential for business markets.

Marketing analyst, Sharon Wilson, uses seasonal adjustments to improve the accuracy of her time series projections for the Ice Cream Palace Company. Given the following data, determine the seasonal index for the first quarter. (Within errors of rounding) Average Quarterly Sales - 78.69

For best results, always seasonally adjust time series data.

Soliciting the judgment of a group of experienced managers to obtain sales estimates for future time periods is known as:

The main consideration with forecasting by ____________ is that it is difficult to teach someone how to forecast using this method.

Seasonal adjustments to sales data:

Salespeople projecting sales volume for customers in their own territory is known as:

All of the following are factors in devising a Buying Power Index except:

A limitation of simple regression forecasting is the assumption that sales follow a linear pattern.

When using an exponential smoothing constant of 0.85, forecasts tend to:

Sales force composite methods involve regression analysis.

The forecasting method which assumes nothing is going to change and the best estimate for the future is the current level of sales is known as the:

Using the following data, what is the season index number for period 3?

NAICS stands for:

Exponential smoothing assumes that the future will be an average of past achievements.

Forecasts prepared with the percentage rate of change approach will normally be higher or lower than those obtained by other projective techniques.

Use the following data to find the MAPE for periods 2 through 4:

Predictions of the actual volume that is expected in a future time period can best be expressed as:

Which of the following is/are true regarding moving averages?

"MAPE" stands for Mean Absolute Percentage Exponentiation.

Introduction to Selling and Sales Management

Strategy and Sales Program Planning

Sales Opportunity Management

Account Relationship Management

Customer Interaction Management

Sales Force Organization

Recruiting and Selecting Personnel

Training

Leadership

Ethical Leadership

Motivating Salespeople

Compensating Salespeople

Evaluating Sales Force Performance

Territory Design

Sales Force Investment and Budgeting

Filters

Exam 14: Estimating Potentials and Forecasting Sales

The Buying Power Index is a widely employed measure of sales potential for business markets.

Marketing analyst, Sharon Wilson, uses seasonal adjustments to improve the accuracy of her time series projections for the Ice Cream Palace Company. Given the following data, determine the seasonal index for the first quarter. (Within errors of rounding) Average Quarterly Sales - 78.69

For best results, always seasonally adjust time series data.

Soliciting the judgment of a group of experienced managers to obtain sales estimates for future time periods is known as:

The main consideration with forecasting by ____________ is that it is difficult to teach someone how to forecast using this method.

Seasonal adjustments to sales data:

Salespeople projecting sales volume for customers in their own territory is known as:

All of the following are factors in devising a Buying Power Index except:

A limitation of simple regression forecasting is the assumption that sales follow a linear pattern.

When using an exponential smoothing constant of 0.85, forecasts tend to:

Sales force composite methods involve regression analysis.

The forecasting method which assumes nothing is going to change and the best estimate for the future is the current level of sales is known as the:

Using the following data, what is the season index number for period 3?

NAICS stands for:

Exponential smoothing assumes that the future will be an average of past achievements.

Forecasts prepared with the percentage rate of change approach will normally be higher or lower than those obtained by other projective techniques.

Use the following data to find the MAPE for periods 2 through 4:

Predictions of the actual volume that is expected in a future time period can best be expressed as:

Which of the following is/are true regarding moving averages?

"MAPE" stands for Mean Absolute Percentage Exponentiation.

Introduction to Selling and Sales Management

Strategy and Sales Program Planning

Sales Opportunity Management

Account Relationship Management

Customer Interaction Management

Sales Force Organization

Recruiting and Selecting Personnel

Training

Leadership

Ethical Leadership

Motivating Salespeople

Compensating Salespeople

Evaluating Sales Force Performance

Territory Design

Sales Force Investment and Budgeting

Filters