The monthly sales for Telco Batteries, Inc. are as follows (see image): Plot the monthly sales data Forecast January sales using each of the following: Naïve method A 3-month moving average A 6-month weighted average using 0.1, 0.1, 0.1, 0.2, 0.2, and 0.3 with the heaviest weights applied to the most recent month Exponential smoothing using an alpha = 0.3 and a September forecast of 18 A trend projection With the data given, which method would allow you to forecast next March’s sales?
The monthly sales for Telco Batteries, Inc. are as follows (see image): Plot the monthly sales data Forecast January sales using each of the following: Naïve method A 3-month moving average A 6-month weighted average using 0.1, 0.1, 0.1, 0.2, 0.2, and 0.3 with the heaviest weights applied to the most recent month Exponential smoothing using an alpha = 0.3 and a September forecast of 18 A trend projection With the data given, which method would allow you to forecast next March’s sales?
Practical Management Science
6th Edition
ISBN:9781337406659
Author:WINSTON, Wayne L.
Publisher:WINSTON, Wayne L.
Chapter2: Introduction To Spreadsheet Modeling
Section: Chapter Questions
Problem 20P: Julie James is opening a lemonade stand. She believes the fixed cost per week of running the stand...
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The monthly sales for Telco Batteries, Inc. are as follows (see image):
- Plot the monthly sales data
Forecast January sales using each of the following:- Naïve method
- A 3-month moving average
- A 6-month weighted average using 0.1, 0.1, 0.1, 0.2, 0.2, and 0.3 with the heaviest weights applied to the most recent month
- Exponential smoothing using an alpha = 0.3 and a September forecast of 18
- A trend projection
- With the data given, which method would allow you to forecast next March’s sales?
Transcribed Image Text:Month
January
February
March
April
May
June
July
August
September
October
November
December
Sales
20
21
15
14
13
16
17
18
20
20
21
23
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Step 1: Given data
VIEWStep 2: Plot the monthly sales data
VIEWStep 3: Forecast January sales using each of the following:
VIEWStep 4: A three-month moving average
VIEWStep 5: A six-month weighted average using 0.1, 0.1, 0.1, 0.2, 0.2, and 0.3, with the heaviest weights...
VIEWStep 6: Exponential smoothing using an α = 0.3 and a September forecast of 18.
VIEWStep 7: A trend projection
VIEWStep 8: With the data given, which method would allow you to forecast next March’s sales
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