1. Using the trend equation, yt = 15 + 2t, what would be the forecast for period 7? A) 22 B) 29 C) 107 D)119 Q2. Quarterly demand for a product includes both a trend and seasonality. The trend portion of deseasonalized demand is forecast based on a linear trend, yt = 50 + 4t, while the quarterly seasonal relatives are Q1 = 1.2, Q2 = 1.1, Q3 = 0.95 and Q4 = 0.75. What is the forecast demand for t = 11 and t = 12 given that these periods are third and fourth quarters in the time series? A) 89.3 and 70.5 B) 93.1 and 73.5 C) 89.3 and 73.5 D) 94 and 98 Q3. A seasonal index of 1.2 for the month of June indicates which of the following? A)Sales for June are 1.2 units above the seasonal average. B)June sales are 1.2 units below the average. C)20% more sales are expected in June when compared to the seasonal average. D)June has 20% less sales than the average. Q4. Some forecasting techniques are more suited to long-term forecasts than others. A) True B) False Q5. Most seasonal variations repeat annually, however, rush hour traffic displays seasonal characteristics. A) True B) False