APICS Exam CPIM-MPR Topic 4 Question 75 Discussion

Actual exam question for APICS's CPIM-MPR exam

Question #: 75
Topic #: 4

When quantitative data are being evaluated, a very small bias in a forecast can best be explained by which of the following statements?

APositive forecast errors approximately offset negative forecast errors.

BThe absolute values of all forecast errors were approximately equal.

CThe variability of forecast data was skewed.

DA very small alpha factor was used.

Show Suggested Answer

Suggested Answer: B

by Hillary at Oct 03, 2023, 11:16 PM

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Hollis

4 days ago

D. using a small alpha factor makes the most sense to me. Doesn't that help reduce bias in the forecasting model?

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Jennifer

10 days ago

I think the correct answer is A. Positive and negative forecast errors offsetting each other seems like the most logical explanation for a small bias.

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Heike

21 days ago

But if positive forecast errors offset negative ones, it would explain the small bias.

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Leatha

22 days ago

I disagree, I believe it's C.

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Heike

25 days ago

I think the answer is A.

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