Question: A manager uses a trend equation plus quarterly relatives to predict demand. Quarter relatives are SR = 0.9, SR2 = 0.95, SR3 = 1.05,
A manager uses a trend equation plus quarterly relatives to predict demand. Quarter relatives are SR = 0.9, SR2 = 0.95, SR3 = 1.05, and SR4=1.1. The trend equation is: Ft=9+4t. Over the past nine quarters, demand has been as follows: Period, t: 1 2 34 5 6 7 8 9 Demand: 14 18 20 22 28 30 36 42 45 Compute the MAD and tracking signal for each period. (Negative values should be indicated by a minus sign. Round your intermediate calculations and final answers to 3 decimal places.) Period, t Demand MAD Tracking signal 1 14 2 18 3 20 4 22 5 28 6 30 7 36 8 42 9 45
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