FLEMING COLLEGE TORONTO

If the intercept value of a linear regression model is $40,$ the slope value is $40,$ and the value of $x$ is $40,$ which of the following is the resulting forecast value using this model?

A$)2,200$

B$)64,000$

C$)1,640$

D$)120$

E$)1,600$

Which of the following forecasting methods is considered a qualitative forecasting technique?

A$)$ Exponential smoothing.

B$)$ Multiple regression.

C$)$ Simple moving average.

D$)$ Linear regression.

E$)$ Market research.

Given a prior forecast demand value of $230,$ a related actual demand value of $250,$ and a smoothing const alpha of $0\mathrm{.}1,$ what is the exponential smoothing forecast value for the following period?

A$)238$

B$)232$

C$)250$

D$)248$

E$)230$

You are hired as a consultant to advise a small firm on forecasting methodology. Based on your researc you find the company has a MAD of $3.$ Its wants to have a $99\mathrm{.}7$ percent control limits on its forecasting system. Company most recent tracking signal value is $15.$ What should be your report to the company?

A$)$ The upper control value is less than $20.$

B$)$ The forecasting model is operating acceptably.

C$)$ The forecasting model is out of control and needs to be corrected.

D$)$ The MAD value is incorrect.

E$)$ The company is using an inappropriate forecasting methodology.