Naïve forecast for any period is equal to the
A) previous period's forecast
B) average actual demand of all available previous periods
C) previous period's actual demand
D) average forecast of all available previous periods
E) average of the actual demand of two or three previous periods

Question

Quizplus · Accepted Answer

The naïve forecast method assumes that the demand in the next period is the same as the demand in the most recent period, hence it is equal to the previous period's actual demand.

Naïve Forecast for Any Period Is Equal to the