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ngboomm35

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The manager of the Carpet City outlet needs to make an accurate forecast of the demand for Soft Shag carpet (its biggest seller). If the manager does not order enough carpet from the carpet mill, customer will buy their carpet from one of Carpet City’s many competitors. The manager has collected the following demand data for the past 8 months:

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The manager of the Carpet City outlet needs to make an accurate forecast of the demand for
Soft Shag carpet (its biggest seller). If the manager does not order enough carpet from the
carpet mill, customer will buy their carpet from one of Carpet City’s many competitors.
The manager has collected the following demand data for the past 8 months:

Month
1
2
3
4
5
6
7
8

Demand for Soft Shag Carpet (1,000 yd.)
10
9
8
9
10
12
14
11

a. Compute a 3-month moving average forecast for months 4 through 9.

Month
1
2
3
4
5
6
7
8
9

Demand for
Soft Shag
Carpet
(1,000 yd.)
10
9
8
9
10
12
14
11

3-month moving
average

(10+9+8)/3 = 9
(9+8+9)/3 = 8.667
(8+9+10)/3 = 9
(9+10+12)/3 =
10.333
(10+12+14)...


Anonymous
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