The moving average forecasting technique rapidly responds to changes in the mean level of demand when
A) a small number of periods is used.
B) a large number of periods is used.
C) an infinite number of periods is used.
D) the number of periods used does not affect the responsiveness.

Question

Quizplus · Accepted Answer

The shorter the moving average range (fewer periods), the more the forecast will respond to most recent demand.

The Moving Average Forecasting Technique Rapidly Responds to Changes in the Mean