Question: A) Develop forecasts for periods 7 through 10 for the demand data in the table using a three- period moving average, a weighted moving average
A) Develop forecasts for periods 7 through 10 for the demand data in the table using a three- period moving average, a weighted moving average using 0.6, 0.3, and 0.1, and exponential smoothing with alpha = 0.7. Use a 6thperiod forecast of 135 as the starting point for the exponential smoothing technique.
| Period | Actual | MA n = 3 | WMA | Exp. Smoothing |
| 1 | 64 | |||
| 2 | 84 | |||
| 3 | 91 | |||
| 4 | 97 | |||
| 5 | 115 | |||
| 6 | 135 | |||
| 7 | 137 | |||
| 8 | 144 | |||
| 9 | 153 | |||
| 10 | 171 |
B) A forecasting method has produced the following over the past five months. What is the mean absolute deviation?
| Actual | Forecast | Error |
| 10 | 11 | -1 |
| 8 | 10 | -2 |
| 10 | 6 | 4 |
| 6 | 6 | 0 |
| 9 | 4 | 5 |
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