The following table shows the actual demand observed over the last 11 years: Yea

Question

The following table shows the actual demand observed over the last 11 years:

Year   1   2   3   4   5   6   7   8   9   10   11
Demand   8   10   4   7   12   8   13   12   9   9   6

This exercise contains only parts b, and c

b) Using the 3-year moving average, provide the forecast from periods 4 through 12 (round your responses to one decimal place).

c) Using the 3-year weighted moving average with weights 0.20, 0.30, and 0.50, using 0.50for the most recent period, provide the forecast from periods 4 through 12 (round your responses to two decimal places).

Explanation / Answer

b)

3 year moving average for year 4 = ( 8 + 10 + 4) /3 = 7.3

3 year moving average for year 5 = (10 + 4 + 7) /3 = 7

Similarly, calculated for all years

c)

Weighted moving average for year 4 = ( .2 * 8 + .3 * `10 + .5 * 4) = 6.6

Weighted moving average for year 5 = ( .2 * 10 + .3 * 4 + .5 * 7) = 6.7

Similarly, calculated for all years.

Year Demand 3 Yr moving average 1 8 2 10 3 4 4 7 7.3 5 12 7 6 8 7.7 7 13 9 8 12 11 9 9 11 10 9 11.3 11 6 10 12 8

Related Questions

Navigate

• Browse (All)
• Browse T
• Subjects

---

---

Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.