Give typed explanation A manager uses a trend equation plus quarterly relatives to predict demand. Quarter relatives are SR₁ = 0.90, SR2 = 0.95, SR3 = 1.05,and SR4 = 1.10 The trend equation is: Ft = 10 + 5t. Over the past nine quarters, demand has been as follows:Period, t:Demand:114Period, t123456789220Click here for the Excel Data File324Demand1420243131374348525431 31MAD637Compute the MAD and tracking signal for each period. (Negative values should be indicated by a minus sign. Round yourintermediate calculations and final answers to 3 decimal places.)743Tracking Signal848952

steps1. unadjusted forecast is made using trend line equation Ft=10+5t2. then it is…

A manager uses a trend equation plus quarterly relatives to predict demand. Quarter relatives are SR₁ = 0.90, SR2 = 0.95, SR3 = 1.05, and SR4 = 1.10, The trend equation is: Ft= 10 + 5t. Over the past nine quarters, demand has been as follows: Period, t: Demand: Period, t 1 2 1 14 Click here for the Excel Data File 3 4 5 6 7 8 9 2 20 3 24 Demand 14 20 24 31 31 37 43 48 52 4 31 Compute the MAD and tracking signal for each period. (Negative values should be indicated by a minus sign. Round your intermediate calculations and final answers to 3 decimal places.) MAD 5 31 6 37 7 43 Tracking Signal 9 8 48 52

A manager uses a trend equation plus quarterly relatives to predict demand. Quarter relatives are SR₁ = 0.90, SR2 = 0.95, SR3 = 1.05, and SR4 = 1.10, The trend equation is: Ft= 10 + 5t. Over the past nine quarters, demand has been as follows: Period, t: Demand: Period, t 1 2 1 14 Click here for the Excel Data File 3 4 5 6 7 8 9 2 20 3 24 Demand 14 20 24 31 31 37 43 48 52 4 31 Compute the MAD and tracking signal for each period. (Negative values should be indicated by a minus sign. Round your intermediate calculations and final answers to 3 decimal places.) MAD 5 31 6 37 7 43 Tracking Signal 9 8 48 52

Practical Management Science

6th Edition

ISBN:9781337406659

Author:WINSTON, Wayne L.

Publisher:WINSTON, Wayne L.

Chapter13: Regression And Forecasting Models

Section13.3: Simple Regression Models

Problem 6P: Do the sales prices of houses in a given community vary systematically with their sizes (as measured...

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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?
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The file P13_42.xlsx contains monthly data on consumer revolving credit (in millions of dollars) through credit unions. a. Use these data to forecast consumer revolving credit through credit unions for the next 12 months. Do it in two ways. First, fit an exponential trend to the series. Second, use Holts method with optimized smoothing constants. b. Which of these two methods appears to provide the best forecasts? Answer by comparing their MAPE values.
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The file P13_29.xlsx contains monthly time series data for total U.S. retail sales of building materials (which includes retail sales of building materials, hardware and garden supply stores, and mobile home dealers). a. Is seasonality present in these data? If so, characterize the seasonality pattern. b. Use Winters method to forecast this series with smoothing constants = = 0.1 and = 0.3. Does the forecast series seem to track the seasonal pattern well? What are your forecasts for the next 12 months?
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