Question: a) When might a manager prefer a linear trend technique to a moving average technique and why? (5 points) There's a new band in town,

a) When might a manager prefer a linear trend
a) When might a manager prefer a linear trend technique to a moving average technique and why? (5 points) There's a new band in town, Cool Spring, and they want to determine a forecasting method to help them estimate streaming revenue. To date they have generated the following revenue from their music being streamed: Month September October November December January Revenue $990 1,010 980 1,020 970 b) Calculate forecasts for September - January using linear-trend and double- exponential smoothing methods. Use an a = 0.25 and B = 0.5 (start with initial estimates Ssept = $300, Tsept = $20) (15 points) c) Calculate MAPE for September - January for each method and indicate which method provides the better forecasts; make any necessary assumptions and state them. Explain. (8 points) d) Forecast streaming revenue for February and March based on your preferred method. State any necessary assumptions. (2 points) a) When might a manager prefer a linear trend technique to a moving average technique and why? (5 points) There's a new band in town, Cool Spring, and they want to determine a forecasting method to help them estimate streaming revenue. To date they have generated the following revenue from their music being streamed: Month September October November December January Revenue $990 1,010 980 1,020 970 b) Calculate forecasts for September - January using linear-trend and double- exponential smoothing methods. Use an a = 0.25 and B = 0.5 (start with initial estimates Ssept = $300, Tsept = $20) (15 points) c) Calculate MAPE for September - January for each method and indicate which method provides the better forecasts; make any necessary assumptions and state them. Explain. (8 points) d) Forecast streaming revenue for February and March based on your preferred method. State any necessary assumptions. (2 points)

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer
Step: 1 Unlock blur-text-image
Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock
Step: 3 Unlock

Students Have Also Explored These Related General Management Questions!