Question $11(1$ point$)$

Which one of the following is most useful for measuring the bias in a forecast?

standard deviation of forecast errors

percentage forecast error in period $t$

cumulative sum of forecast errors

mean absolute deviation of forecast errors

Question $12(5$ points$)$

A company operating under an EOQ policy enjoys rising annual demand for their products for three consecutive years. During this time their holding cost and ordering cost remain constant. Which statement is best?

Their order quantity will stay the same

Their order quantity will rise

Their order quantity will fall