BSAN562 Quiz Ch4s

 Multiple Choice

When conducting a regression analysis in forecasting, what does the 'slope' represent?

1. The overall average of the dependent variable

2. The total value of the independent variable

3. The change in the dependent variable for each unit change in the independent variable

4. A fixed constant that does not change

Question 2

2

Multiple Choice

What impact does increasing the length of a moving average generally have on forecast sensitivity?

1. It improves the accuracy of all forecasts

2. It adds complexity to the forecasting process

3. It makes the forecast less sensitive to changes in data

4. It has no impact on forecast sensitivity

Question 3

3

Multiple Choice

What is a major challenge in forecasting within the service sector compared to products?

1. The long-term nature of customer relationships

2. The predictability of supply chain issues

3. The need for short-term data and variability

4. The stability of demand throughout the year

Question 4

4

Multiple Choice

Which of the following factors can throw off a forecast?

1. Increased employee training

2. Minor fluctuations in sales

3. Routine operational changes

4. Unpredictable events like natural disasters

Question 5

5

Multiple Choice

What are the benefits of using multiple forecasting models for a single product?

1. To limit the use of technology

2. To reduce forecasting costs

3. To simplify data analysis

4. To determine which model provides the most accurate predictions

Question 6

6

Multiple Choice

What is the meaning of a seasonal index?

1. A ranking of products based on sales performance

2. A tool for tracking economic indicators

3. A ratio that indicates seasonal variations in demand for a product

4. An index for measuring forecast accuracy

Question 7

7

Multiple Choice

Which forecasting method would you typically use when there is little historical data available?

1. Moving averages

2. Time-series forecasting

3. Qualitative forecasting methods

4. Trend projection

Question 8

8

Multiple Choice

What is the naive forecasting method?

1. Estimates based on economic trends

2. Assumes future demand will be the same as past demand

3. Uses complex algorithms and data analysis

4. Involves expert opinion and intuition

Question 9

9

Multiple Choice

Which of the following statements about correlation is true?

1. It is irrelevant in operations management.

2. It measures the degree of association between two variables.

3. It guarantees causation between variables.

4. It can only be a positive value.

Question 10

10

Multiple Choice

What is the primary purpose of forecasting in operations management?

1. To reduce employee workload

2. To predict future events and assist in decision-making

3. To focus on marketing strategies

4. To analyze past performance