Question

%) Problem 4.41 (additional/static) The director of the Riley County, Kansas, library system would like to forecast evening patron usage for next week. Below are the data for the past 4 weeks: Week 1 Week 2 Week 3 Week 4 Mon Tue 210 178 215 180 220176 225 178 Wed 250 250 260 260 Thu Fri 215 160 213 165 220175 225 176 Sat 180 185 190 190 a) Calculate a seasonal index for each day of the week (enter your responses rounded to three decimal places). Day of the week Seasonal index Mon 1.066 Tue 0.873 Wed 1.25 Thu 1.07 Fri 0.828 Sat 0.913 b) Let x = 1 for Monday of Week 1. If the trend equation for this problem is: ġ=201.74 +0.18x, the forecast for each day of week 5 is (round your responses to the nearest whole number): Day of week 5 Mon 202 Tue 202 Wed 202 Thu 202 Fri 202 Sat 202 Forecast

Answer 1

(a)

	Mon	Tue	Wed	Thu	Fri	Sat	Average
Week-1	210	178	250	215	160	180	198.8
Week-2	215	180	250	213	165	185	201.3
Week-3	220	176	260	220	175	190	206.8
Week-4	225	178	260	225	176	190	209.0
Average	217.5	178	255	218.25	169	186.25	204
Seasonal Indices	1.066	0.873	1.250	1.070	0.828	0.913

(b)

Day of week-5	Mon	Tue	Wed	Thu	Fri	Sat
x	25	26	27	28	29	30
Trendline, Y = 201.74 + 0.18 * x	206.24	206.42	206.6	206.78	206.96	207.14
Adjusted forecast = Y * Indices	220	180	258	221	171	189