WMBA Week 6 Final Exam Latest Update 20232024 rationale

WMBA Week 6 Final Exam Latest Update 20232024 rationale WMBA Week 6 Final Exam Latest Update 20232024 rationale Question 1 Assume you have been assigned the task of identifying a level strategy aggregate production plan for the upcoming year. You have been informed that beginning inventory is 2,000 units, your plan should provide an ending inventory for the year equal to 500 units, and you have been provided the following forecasts of aggregate demand. What should be the planned rate of quarterly production? Selected Answer: 5,375 units Correct Answer: 5,375 units Answer Feedback: (pp. 295,[(6000 + 5500 + 5000 + 6500) + 500 - 2000]/4 = 5375) Aggregate planning is concerned with matching supply and demand of output over a short time range of 2 to 3 months. Selected Answer: False Correct Answer: False Answer Feedback: (pp. 285, Aggregate planning is medium-term capacity planning.) Measured by the mean absolute deviation, which of the forecast methods (1, 2 or 3) provides the highest degree of forecast accuracy for the five weeks of data shown below? Selected Answer: Methods 2 and 3 are equal Correct Answer: Methods 2 and 3 are equal Answer Feedback: (pp. 253 - both have MAD = 14/5 = 2.8) Assume a business has $700,000 worth of inventory and averages $10,000 per day in sales. Also assume it takes 30 days for the average customer to pay off its accounts receivable to this company and it takes 120 days for the company to pay for the materials supplied by the suppliers. What is the company's average cash-to-cash cycle time? Selected Answer: -20 days Correct Answer: -20 days Answer Feedback: (pp. 223 = Cash-to-cash cycle time = (/10000) + 30 -120 = -20 days) Which of the following is not a qualitative approach to forecasting? Selected Answer: Box-Jenkins Method Correct Answer: Box-Jenkins Method Answer Feedback: (pp. 246, Table 11.2 - Box-Jenkins is a quantitative approach)