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 Smoothing when α= .6 and the forecast for March is 350.
Customary Pricing
There are various types of pricing strategies followed in the market. They are psychological pricing, odd pricing, free onboard pricing, customary pricing, prestige pricing, dual pricing, ruling pricing, negotiated pricing, mark up pricing, etc. each one can be explained as follows:
Multiple Unit Pricing
“Multiple-unit pricing is a practice where a company offers consumers a lower than unit price if a specified number of units are purchased.”
Please answer parts i, ii and iii of the below question.
The table below shows the sales figures 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 |
- 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 Smoothing when α= .6 and the forecast for March is 350.
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-Please answer part iv. which is related to the three part question posted some moments ago that has been answered already.
iv. Determine which of the three
MAD.
-Also, please answer the below two parts to this new question.
The following table shows the number of televisions sold over the last ten years at a local electronic store.
| Year | TV Sales |
| 1 | 150 |
| 2 | 300 |
| 3 | 480 |
| 4 | 600 |
| 5 | 630 |
| 6 | 640 |
| 7 | 700 |
| 8 | 825 |
| 9 | 900 |
| 10 | 980 |
i) Using trend projection, develop a formula to predict sales for years 11 and 12.
You have to show all working. You will need to develop a table to calculate the slope and the intercept.
ii) Use that formula to forecast television sales for years 11 and 12.
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