Question

Aski repair shop at a resort in Colorado seils replacement polos each season The shop needs to develop a forecast of read season's sales so that they can place an order for poles with the supplier well in advance of the beging the season Sales data for the past ive years are shown below Compare the forecasts given by the following models Sales (is) 400 302 397 a. Develop forecast using a five-year moving average (Round your answer to 1 decimal place.) Forecasted sales for 6th year b. Develop forecast using a weighted moving average model with weights of O2, 01,03,02 and 0 2 for years 1 through 5 respectively (Round your answer to 1 decimal place.) Forecasted sales for oth year c. Develop forecast using an exponential smoothing model with year 1 forecast of 390 and a 03 (Do not round Intermediate calculations. Round your answer to 2 decimal places) Forecasted sales for oth year

Answer 1

a)

forecasted sales for 6th year = average(400,362,397,386,391) = 387.2

b)

forecasted sales for 6th year = (400*0.2+362*0.2+397*0.3+386*0.1+391*0.2) = 388.3

c)

А в 1 Sales Forecast 400 390 362 393 397 383.7 386 387.69 391 387.183 388.33

Forecasted sales for 6th year = 388.33

Formula:

А B 1 Sales 2 400 3 362 4 397 5 386 Forecast 390 =0.3*A2+0.7*B2 =0.3*A3+0.7*B3 =0.3*A4+0.7*B4 =0.3*A5+0.7*B5 =ROUND(0.3*A6+0.7*B6,2) 6 391