FC.61Intermount Wood Products produces finished wood products made from various materials. One of their newer products, reclaimed
Question:
FC.61Intermount Wood Products produces finished wood products made from various materials. One of their newer products, reclaimed red oak flooring, is fast becoming a best seller. However, the newness of the product makes it difficult to predict demand. The actual demand for reclaimed red oak flooring during the last 10 months (in square feet)
Month | Square Feet Sold | Forecast |
---|---|---|
Jan | 11,281 | 12,259 |
Feb | 10,723 | |
Mar | 10,600 | |
Apr | 11,685 | |
May | 12,490 | |
Jun | 11,172 | |
Jul | 11,683 | |
Aug | 11,257 | |
Sep | 11,956 | |
Oct | 11,526 |
Suppose at the start of this year, before Intermount had any data on actual sales, they forecasted that January sales would be 12,259 square feet. Assuming they used an alpha value of 0.7 and that actual January sales materialized as shown in the table above (11,281 square feet), what would have been their forecast for the month of February? (Display your answer to twodecimal places.) If you follow this same forecasting process through all the months, continuing with March and going through October, what would be the forecast in the month of October? (Display your answer to two decimal places.)
What is the MAD for this forecast (based on 10 months of forecasts--January through October)? (Display your answer to two decimal places.)
What is the MAPEfor this forecast (based on 10 months of forecasts--January through October)? (Write your answer as a percentage, and displayyour answer to two decimal places.) %