Business Forecasting 6th Edition by Wilson – Test Bank

Test Bank For Business Forecasting 6th Edition by Wilson

Business Forecasting 6th Edition by Wilson – Test Bank

Business Forecasting 6th Edition by Wilson

Business Forecasting 6th Edition

Business Forecasting

ISBN:978-0073373645, ISBN-10: 0073373648

Chapter 1

MULTIPLE CHOICE TEST BANK

Note:  The correct answer is denoted by  **.

1. Which of the following does not require sophisticated quantitative forecasts?

1. A) Accounting revenue forecasts for tax purposes.
2. B) Money managers use of interest rate forecasts for asset allocation decisions.
3. C) Managers of power plants using weather forecasts in forecasting power demand.
4. D) State highway planners require peak load forecasts for planning purposes.
5. E) All the above require quantitative forecasts.   **

2. Under what circumstances may it make sense not to prepare a business forecast?

1. A) No data is readily available.
2. B) The future will be no different from the past.  **
3. C) The forecast horizon is 40 years.
4. D) There is no consensus among informed individuals.
5. E) The industry to forecast is undergoing dramatic change.

3. What is most likely to be the major difference between forecasting sales of a private business versus forecasting the demand of a public good supplied by a governmental agency?

1. A) Amount of data available.
2. B) Underlying economic relationships.
3. C) Lack of market-determined price data for public goods.  **
4. D) Last of historical data.
5. E) Lack of quantitative ability by government forecasters.

4. Which of the following points about supply chain management is incorrect?

1. A) Forecasts are required at each step in the supply chain.
2. B) Forecasts of sales are required for partners in the supply chain.
3. C) Collaborative forecasting systems across the supply chain are needed.
4. D) If you get the forecast right, you have the potential to get everything else right in the supply chain.
5. E) None of the above.  **

5. Which of the following is not typically part of the traditional forecasting textbook?

1. A) Classical statistics applied to business forecasting.
2. B) Use of computationally intensive forecasting software.  **
3. C) Attention to simplifying assumptions about the data.
4. D) Discussion of probability distributions.
5. E) Attention to statistical inference.