As a forecasting technique, moving average:
A)is useful when only base and irregular demand components exist
B)is never useful
C)is useful when demand patterns repeat with cyclic, trend, or seasonal
Components
D)is useful when there is a strong relationship between demand and certain
Independent variables

Question

Quizplus · Accepted Answer

Moving average is useful when only base and irregular demand components exist, as it smooths out short-term fluctuations and highlights longer-term trends or cycles.

As a Forecasting Technique, Moving Average