Question: For the data given below, forecast period 17 using following methods and suggest the best forecasting model 1. Simple Moving Average (Three Period) 2. Weighted
| For the data given below, forecast period 17 using following methods and suggest the best forecasting model |
| 1. Simple Moving Average (Three Period) |
| 2. Weighted Average (50% on t-1, 30% on t-2, 20% on t-3) |
| 3. Exponential Smoothing (=.1), F1= y intercept from regression) |
| 4. Exponential Smoothing (=.3), F1= y intercept from regression) |
| 5. Exponential Smoothing with trend (=.3) and (=.3), F1= y intercept from regression)** |
| 5. Exponential Smoothing with trend (=.1) and (=.3), F1= y intercept from regression)** |
| 6. Regression analysis |
| 7. Plot a single graph representing actual sales and all of the above forecastined sales. |
| 8. Calculate MAD, MSE and MAPE. Suggest which of the above method is most accurate. |
**When initial trend forecast (T1) is not given, use slope of the regression line as initial trend.
| Year | Quarter | Period | Sales | |
| 0 | ||||
| 1 | I | 1 | 98 | |
| II | 2 | 106 | ||
| III | 3 | 109 | ||
| IV | 4 | 133 | ||
| 2 | I | 5 | 130 | |
| II | 6 | 116 | ||
| III | 7 | 133 | ||
| IV | 8 | 116 | ||
| 3 | I | 9 | 138 | |
| II | 10 | 130 | ||
| III | 11 | 147 | ||
| IV | 12 | 141 | ||
| 4 | I | 13 | 144 | |
| II | 14 | 142 | ||
| III | 15 | 165 | ||
| IV | 16 | 173 | ||
| 5 | I | 17 |
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