Practice Exam2

Practice Exam2 - The owner of Darkest Tans Unlimited in a...

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1. Every change in the value of an objective function coefficient will lead to changes in the optimal solution. Answer: False 2. Non-binding constraints are not associated with the feasible solution space; i.e., they are redundant and can be eliminated from the matrix. Answer: False 3. Forecasts of future demand are used by operations people to plan capacity. Answer: True 4. An advantage of a weighted moving average is that recent actual results can be given more importance than what occurred a while ago. Answer: True 5. Exponential smoothing is a form of weighted averaging. Answer: True 6. A smoothing constant of .1 will cause an exponential smoothing forecast to react more quickly to a sudden change than a smoothing constant value of .3. Answer: False
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Unformatted text preview: The owner of Darkest Tans Unlimited in a local mall is forecasting this month's (October's) demand for the one new tanning booth based on the following historical data: 7. What is this month's forecast using a four-month weighted moving average with weights of .4, .3, .2, and .1? A) 120 B) 129 C) 141 D) 135 E) 140 Answer: C 8. What is this month's forecast using exponential smoothing with alpha = .2, if August's forecast was 145? A) 144 B) 140 C) 142 D) 148 E) 163 Answer: A 9. What is the monthly rate of change (slope) of the least squares trend line for these data? A) 320 B) 102 C) 8 D) -0.4 E) -8 Answer: C 10. What is this month's forecast using the least squares trend line for these data? A) 1,250 B) 128.6 C) 102 D) 158 E) 164 Answer: D...
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This note was uploaded on 06/05/2011 for the course BUS 101 taught by Professor T.mcgee during the Spring '08 term at FSU.

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Practice Exam2 - The owner of Darkest Tans Unlimited in a...

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