Question
A company wants to forecast the sales of their new product for the next six months using the method of moving averages. The sales data
A company wants to forecast the sales of their new product for the next six months using the method of moving averages. The sales data for the past 12 months is given below:
Month | Sales (in thousands) |
---|---|
1 | 100 |
2 | 120 |
3 | 130 |
4 | 140 |
5 | 150 |
6 | 160 |
7 | 180 |
8 | 200 |
9 | 220 |
10 | 240 |
11 | 260 |
12 | 280 |
Use the method of moving averages with a window size of 3 to forecast the sales for the next six months. Show all calculations and explain your reasoning.
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Foundations Of Operations Management
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