Question 22 (2 points)

You are evaluating a forecast with errors of 10, -12, -8, 16, -6, and 7. Does your forecasting approach have any bias? If no, enter no. If yes, enter either "overforecasting" or "underforecasting" depending on which is correct.

Question 22 options:

Question 23 (2 points)

You have errors of 3, 1, 3, -2, and 2. What is your mean absolute deviation value for these errors? Answer to one decimal place.

Your Answer:

Question 23 options:

Your Answer

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Question 24 (2 points)

You have two forecasts that you are evaluating. A has a MSE of 25,000 and B has a MAPE of 0.23. Which forecast should you choose?

Question 24 options:

	B
	There is not enough information to answer the question.
	A
	It depends if your data is seasonal or you want to minimize big errors.

Question 25 (2 points)

Your sales for the current period were 125. Your forecast for this period was 127. Your alpha is 1. What is your forecast for the next period? Answer to one decimal place.

Your Answer:

Question 25 options:

Your Answer

Question 26 (2 points)

Your sales for January through April were 120, 145, 110, and 133. Using a three weighted month moving average with weights of 3, 2, and 1 (with the highest weight on the most recent month), provide a forecast for May. Answer to one decimal place.

Your Answer:

Question 26 options:

Your Answer

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Question 27 (2 points)

You have sales from January to April of 132, 128, 68, and 106. Your forecasts for those months were 144, 112, 61, and 115 respectively. What is your mean absolute percentage error for those four months? Answer to one decimal place.

Your Answer:

Question 27 options:

Your Answer

Question 28 (2 points)

You have a product that has sales of 135, 225, 250, and 110 in the last four quarters. What is the seasonal index for the first quarter? Answer to two decimal places.

Your Answer:

Question 28 options:

Your Answer

Question 29 (1 point)

You expect sales for the year of 4200 next year. Your seasonal index for the first quarter is 0.85. What is your forecast for the first quarter? Answer to one decimal place.

Your Answer:

Question 29 options:

Your Answer

Inventory Management

This section has a series of inventory questions.

Question 30 (2 points)

You have a product with weekly demand of 18 and are open 52 weeks of the year. You pay 30 per unit. It costs you 120 to order and holding costs per year are 25% of the price paid. What is the optimal order quantity that minimizes inventory costs? Round to the nearest whole number.

Your Answer: