APICS Certified Supply Chain Professional (CSCP) — Question 449
Which of the following terms represents a time series forecasting technique?
Answer options
- A. Mean absolute deviation (MAD)
- B. Moving average
- C. Causal
- D. Multiple regression
Correct answer: B
Explanation
The correct answer is B, Moving average, as it is a well-known time series forecasting technique that smooths data to identify trends over time. Options A, C, and D are not specifically designed for time series forecasting; MAD is a measure of accuracy, while causal and multiple regression techniques analyze relationships rather than temporal data patterns.