Quiz 3

Question 1

Which of the following statements is true with regard to the concept of Markov Chains?

Answer 1

All of these

Question 2

Delphi Method allows experts, who may be in different places, make forecasts make forecasts based on an individual judgement:

Answer 2

true

Question 3

Forecasting Error is the sum of the actual and forecasted outcomes:

Answer 3

False

Question 4

Which of the following is true with regard to the concept of MAD?

Answer 4

it measures the average magnitude of the forecast error

Question 5

Which of the following is true with regard to the concept of a Multiple Regression model?

Answer 5

all of these

Question 6

Which of the following is true with regard to the concept of Scatter Plots?

Answer 6

all of these

Question 7

Weighted Moving Average is a moving average forecasting method that places the same weights on past values:

Answer 7

false

Question 8

Which of the following is true with regard to the concept of Consumer Market Surveys?

Answer 8

customers are not rational

Question 9

Forecasting software is just a tool no matter how sophisticated it is. Ultimately, for now, human make decisions:

Answer 9

True

Question 10

The perfect forecasting model does exist:

Answer 10

False

Question 11

Which of the following is true with regards to the concept of Least-Square Criterion?

Answer 11

all of these

Question 12

Which of the following is true with regards to the concept of Correlation Coefficient?

Answer 12

a quantitative measure of the strength of the linear relationship between two variables
it ranges from -1 to +1
it has a symbol of “r”

Question 13

Time-series forecasting models are based on historical data:

Answer 13

true

Question 14

Which of the following is true with regards to the concept of a Moving Average?

Answer 14

all of these

Question 15

Quantitative Models are based on experience and acumen. They are not based on numerical values:

Answer 15

false

Question 16

Which of the following is true with regard to the concept of Regression Analysis?

Answer 16

all of these

Question 17

Bias is a technique for determining the accuracy of a forecasting model by measuring the average error and its direction:

Answer 17

true

Question 18

Which of the following is true with regard to the concept of Causal Models?

Answer 18

they are models that show a cause-effect relationship between variables

Question 19

Which of the following is true with regard to the concept of the Jury of Executive Opinion?

Answer 19

it can lead to group think

Question 20

Forecasting period is the number of future periods covered by a forecast. It is sometimes referred to as a forecast lead time:

Answer 20

False

Question 21

Forecasting horizon is the unit of time for which forecasts are made:

Answer 21

False

Question 22

Which of the following is true with regard to the concept a Linear Trend?

Answer 22

all of the above

Question 23

Which of the following is true with regard to the concept of Cyclical Components?

Answer 23

all of these

Question 24

Which of the following is true with regard to the concept of Random Components?

Answer 24

they are changes in time-series data that are unpredictable and cannot be associated with a trend, seasonal, or cyclical components

Question 25

The base value is the value to which all other values in the time-series are compared (indexed):

Answer 25

guess

Question 26

Which of the following is true with regard to the concept of Exponential Smoothing?

Answer 26

all of the above

Question 27

Which of the following is true with regard to the concept of a Coefficient of Determination?

Answer 27

it is the portion of the total variation in the dependent variable that is explained by its relationship with the independent variable
it is called “R squared”

Question 28

A residual is the difference between the actual value of the dependent variable and the value predicted by the regression model:

Answer 28

true

Question 29

Which of the following is true with regard to the concept the Base Period Index? It is:

Answer 29

all of these

Question 30

Aggregate Price Index is an index that is used to measure the rate change from a base period for a group of two or more items:

Answer 30

true