. 4.5The Carbondale Hospital is considering the purchaseof a new ambulance. The decision will rest partly on the antici-pated mileage to be driven next year. The miles driven during thepast 5 years are as follows:YEARMILEAGE1.3,0004,0003,4004.3,8005.3,700a) Forecast the mileage for next year (6th year) using a 2-yearmoving average.b) Find the MAD based on the 2-year moving average. (Hint.You will have only 3 years of matched data.)c) Use a weighted 2-year moving average with weights of .4and 6 to forecast next year's mileage. (The weight of .6 isfor the most recent year.) What MAD results from using thisapproach to forecasting? (Ilint: You will have only 3 years ofmatched data.)d) Compute the forecast for year 6 using exponential smoothing,an initial forecast for year of 3,000 miles, and a.5. Px

Answered: 4.5 The Carbondale Hospital is…

Practical Management Science

6th Edition

ISBN:9781337406659

Author:WINSTON, Wayne L.

Publisher:WINSTON, Wayne L.

Chapter13: Regression And Forecasting Models

Section: Chapter Questions

Problem 40P: The Baker Company wants to develop a budget to predict how overhead costs vary with activity levels....

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The Baker Company wants to develop a budget to predict how overhead costs vary with activity levels. Management is trying to decide whether direct labor hours (DLH) or units produced is the better measure of activity for the firm. Monthly data for the preceding 24 months appear in the file P13_40.xlsx. Use regression analysis to determine which measure, DLH or Units (or both), should be used for the budget. How would the regression equation be used to obtain the budget for the firms overhead costs?
Under what conditions might a firm use multiple forecasting methods?
Q5) Monthly sales for a six month period are as follows: Month SalesJan 18,000Feb 22,000Mar 16,000Apr 18,000May 20,000June 24,000 Compute the sales forecast for July using the following approaches: (1) Four-month moving average; (2) Weighted three-month moving average using .50 for June, .30 for May and .20 for April;(3) Exponential smoothing with α (smoothing constant) equal to .40, assuming a February forecast of 18,000
1. The following table gives the number of pints of type A blood used at Damascus Hospital in the past 6 weeks: Part 2 Week Of Pints Used August 31 350 September 7 372 September 14 412 September 21 381 September 28 366 October 5 378 Part 3 a) The forecasted demand for the week of October 12 using a 3-week moving average LOADING... = _____________pints (round your response to two decimal places).
Sales of Cool-Man air conditioners have grown steadily during the past 5 years: (Round your answers to 2 decimal places.) Forecast Forecast Year Sales (a = 0.30) (a 0.90) 1 450 410.0 410.00 495 3 518 470.60 490.10 4 563 5 584 495.20 6 ? 1. The sales manager had predicted, before the business started, that year 1's sales would be 410 air conditioners. Using exponential smoothing with a weight of a = 0.30, complete the Forecast column to develop forecasts for years 2 through 6. What is the MADa=0.30 ? 2. Using exponential smoothing with a weight of a = 0.90, develop forecasts for years 2 through 6 by completing the Forcast column in the table. What is the MAD-0,90 ? 3. Using the trend projection method, develop a forecasting model to project sales for year 6. 2.
page 4 of 19) - Google Chrome squ.edu.om/mod/quiz/attempt.php?attempt3D1245076&cmid%3663426&page%3D3 earning System (Academic) erations Management || fall20 Quiz stion 4 Mean Absolute Deviation (MAD) is the always the best in assessing a forecast model accuracy yet vered Select one: ked out of O a. True O b. False Hajir lag question 13 Next page 10 19
The monthly demand for units manufactured by the Acme Rocket Company has been as follows:Month Units Month UnitsMay 100 September 105June 80 October 110July 110 November 125August 115 December 120a. Use the exponential smoothing method to forecast the number of units for June to January. Theinitial forecast for May was 105 units; a = 0.2.b. Calculate the absolute percentage error for each month from June through December and theMAD and MAPE of forecast error as of the end of December.c. Calculate the tracking signal as of the end of December. What can you say about the performanceof your forecasting method?
5. The materials handling manager of a manufacturing company is trying to forecast the cost of maintenance for the company's fleet of over-the-road tractors. The manager believes that the cost of maintaining the tractors increases with their age. The following data were collected. Age (years) 4.5 4.5 4.5 4.0 4.0 4.0 5.0 5.0 5.5 Yearly Maintenance Cost ($) 619 1,049 1,033 495 723 681 890 1,522 987 Age (years) Yearly Maintenance Cost ($) 5.0 0.5 0.5 6.0 6.0 1.0 1.0 1.0 1,194 163 182 764 1,373 978 466 549 a. Use linear regression model to develop a relationship to forecast the yearly maintenance cost based on the age of a tractor (use Excel) b. If a section has a three-year old tractor, what is the forecast for the annual maintenance cost?
The classified department of a monthly magazine has used a combination of quantitative and qualitative methods to forecast sales of advertising space. Results over a 20-month period are as follows: Month Error Month Error 1 —8 11 1 2 —2 12 6 3 4 13 4 7 14 4 5 9 15 1 6 5 16 —2 7 0 17 —4 8 —3 18 —8 9 -9 19 —5 10 —4 20 —1 a. Compute a tracking signal for months 11 through 20. Compute
In exponential smoothing, if ɑ = 0.3, then the damping factor for use in forecasting should be: * o .70 o .60 o .40 o .50 o .30
15. The Vision Hospital is considering the purchase of a new Advance Scan machine. The decision will rest partly on the anticipate patients in the coming months. The numbers of patents during the past years are as follows: Year Number of patents(Actual) 1600 2016 2017 2200 2018 2600 2019 2800 | 2020 3100 Compute the forecast for the year 2021 using exponential smoothing with a forecast for the year 2016 of 1500 and a = .3
FC.51 Madison Memorial Hopsital is considering purchasing a new ambulance. The decision will rest partly on the anticipated mileage to be driven this year (2023). The miles driven during the past eight years are as follows: Year Miles Driven 2015 2016 2017 2018 2019 2020 2021 2022 3,240 1,211 3,208 3,253 2,169 2,224 1,162 1,074 Using a 4-year moving average, what would be the forecast for the miles to be driven in 2023? (Display your answer to the nearest whole number.) Number Using a 4-year weighted moving average (with last year's weight as 0.5, two years previous as 0.2; three years previous as 0.2, and four years previous as 0.1) what is the forecast for 2023? (Display your answer to the nearest whole number.) Number

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