6 A forecaster would be considered effective only when A Dem

6. A forecaster would be considered effective only when:

A. Deman is almost always equal to the systematic component of the forecase

b. Demand falls within the range of uncertainity specified by the forecaster 100% of teh time.

c. Demand increased year or year

d. Demand falls within the range of uncertainity specified by the forecaster about 90-95% of the time

Solution

The correct answer is D. The forecast should fall within a 95% confidence interval. The correct answer is thus D.