Question

The Carbondale Hospital is considering the purchase of a new ambulance. The decision will rest partly on the anticipated mileage to be driven next year. The miles driven during the past 5 years are as​ follows:

Year            1            2            3          4          5
Mileage   3,000   4,000   3,400   3,850   3,750

Using a​ 2-year moving​ average, the forecast for year 6​ =________ miles (round your response to the nearest whole number).

Answer 1

The moving average for the next year is equal to the average of the sum of the previous two years:

=(Year 4 + Year 5)/2

=(3850+3750)/2

=3800