Question

John's House of Pancakes uses a weighted moving average method to forecast pancake sales. It assigns a weight of 5 to the previous month's demand, 3 to demand two months ago, and 1 to demand three months ago If sales amounted to 3,000 pancakes in May, 2,200 pancakes in June, and 1,000 pancakes in July, what should be the forecast for August? O A. 1,622 O B. 3,767 OC. 2,067 OD. 2.511 O E. 2,400

Answer 1

The correct option is A. 1622.

Forecast for August = (5 * 1000) + (3 * 2200) + (3000 * 1) / 9 = 1622.22

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