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Question 1.A company that uses portfolio analysis would probably classify things like office supplies in the Bottleneck quadrant.

  •   True
  • False

Question 2.A firm’s demand data from the last two quarter is displayed in the table. Use a three period weighted moving average with Wt=0.7, Wt-1=0.2, and Wt-2=0.1 to forecast demand for July.

MonthDemand

January154

February148

March214

April180

May225

June246

  •   235.2
  •   195.6
  •   158.8
  •   180.4

Question 3.The transportation mode other than highway with the highest annual tonnage in the United States is:

  •   air.
  •   water.
  •   rail.
  •   pipeline.

Question 4.The transportation mode with the highest dollar value of freight in the United States is:

water.

rail.

highway.

pipeline.

Question 5.Between any two locations, a less than truckload shipment probably experiences fewer stops and handling than a direct truck shipment.

  •   True
  • False

Question 6.A long-term movement up or down in a time series is called:

  •   seasonality.
  •   trend.
  •   randomness.
  •   cycle.

Question 7.A qualitative forecasting technique in which individuals familiar with specific market segments estimate the demands within these sectors that are then summed to get an overall forecast is called a:

  •   market survey
  •   life cycle analogy
  •   panel consensus
  •   build-up method

Question 8.The greater the randomness in the model, the greater the number of periods should be used in a moving average forecast.

  •   True
  • False

Question 9.A firm’s demand data from the last two quarter is displayed in the table. Use a three period moving average to forecast demand for July.

MonthDemand

January154

February148

March214

April180

May225

June246

  •   206
  •   217
  •   223
  •   226

Question 10.The ratio of earnings to sales for a given time period is a firm’s profit margin.

  •   True
  • False

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