$1.(20$ points$).$ Use the sales data to develop a forecast for period $25$ that you feel best represents the data. You can use any of the tools included in Chapter $4.$ You should also provide supporting information on forecast error that shows why you think your forecasting method is best. You likely will want to present a few forecasting methods and then show me why your recommended method is best. If you are using exponential smoothing, the initial forecast for period $1$ was $29,000.$ That will allow you to start the smoothing process.

$2.(10$ points$).$ Utilize the EOQ model to recommend a number of items to order each time. Also provide a summary of the following equation: Total Inventory Costs $=$ Total Ordering Costs $+$ Total Holding Costs. Submit the solutions as an excel file. Problem $1$

Sales data

Month Sales

$129,324$

$229,697$

$326,964$

$429,994$

$524,842$

$632,879$

$732,931$

$831,763$

$933,172$

$1033,918$

$1137,445$

$1235,373$

$1327,759$

$1421,139$

$1530,266$

$1626,018$

$1732,443$

$1828,439$

$1926,253$

$2035,447$

$2128,577$

$2237,236$

$2336,002$

$2437,707$

Problem $2$

EOQ data

Weekly demand $8$

Order cost $ $10\mathrm{.}00$

Carry cost $20\%$

Item cost $ $80\mathrm{.}00$