John\'s Crab Shack sells crabs to restaurants in Maine, the data below is sales
ID: 3436317 • Letter: J
Question
John's Crab Shack sells crabs to restaurants in Maine, the data below is sales over a three year period.
The Owner wants to forecast the number of sales for January 2013. He wants to use a 5 period moving average smoothing model to arrive at the forecast.
a) Provide the desired forecast for Period 37 based on the Moving Average Soothing Model
B) Calculate the MAD value for this linear trend model
Year Month Month Number Sales Received 2010 Jan 1 23,500 Feb 2 21,700 Mar 3 18,750 Apr 4 22,000 May 5 23,000 Jun 6 26,200 Jul 7 27,300 Aug 8 29,300 Sep 9 31,200 Oct 10 34,200 Nov 11 39,500 Dec 12 43,400 2011 Jan 13 23,500 Feb 14 23,400 Mar 15 21,400 Apr 16 24,200 May 17 26,900 Jun 18 29,700 Jul 19 31,100 Aug 20 32,400 Sep 21 34,500 Oct 22 35,700 Nov 23 42,000 Dec 24 42,600 2012 Jan 25 31,000 Feb 26 30,400 Mar 27 29,800 Apr 28 32,500 May 29 34,500 Jun 30 33,800 Jul 31 34,200 Aug 32 36,700 Sep 33 39,700 Oct 34 42,400 Nov 35 43,600 Dec 36 47,400Explanation / Answer
For a 5 period moving average previous 5 months avrage is calculated
ie.average for Aug, Sep, oct, nov and dec is forecast for Jan 2013
= 41960
a) Moving average soothing model = average of all = 31763
c) MAD value for this linear trend is Mean absolute deviation.
Related Questions
Navigate
Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.