a. Using the following, forecast the sales for the months up to january the following year:- i. A simple three month moving average ii. A three period weighted moving average using weights of 1, 2, and 3. Assign the highest weight to the most             recent data iii. Exponential smothing when α = .6 and the forecast for march is 350

Practical Management Science
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ISBN:9781337406659
Author:WINSTON, Wayne L.
Publisher:WINSTON, Wayne L.
Chapter2: Introduction To Spreadsheet Modeling
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Question 1.

The table below shows the sales figure for a brand of shoe over the last 12 months.

Months Sales
January 69
February 75
March 86
April 92
May 95
June 100
July 108
August 115
September 125
October 131
November 140
December 150

a. Using the following, forecast the sales for the months up to january the following year:-

i. A simple three month moving average

ii. A three period weighted moving average using weights of 1, 2, and 3. Assign the highest weight to the most             recent data

iii. Exponential smothing when α = .6 and the forecast for march is 350

 

vi. Detemine which of the three forecasting technique is the most accurate using MAD

N.B. Only answer IV

 

 

 

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