Question: Let's assume you are using simple smoothing constant with smoothing constant = 5 . At the end of period 1 2 , your forecast for

Let's assume you are using simple smoothing constant with smoothing constant =5. At the end of period 12, your forecast for period 13 is 50. Actual sales in periods 13 to 18 are constant at 100. Compute forecasts for periods 14 to 19. If sales always stay at 100, will the forecast ever be equal to sales? Will the forecasts ever exceed sales?
Any increase in efficiency also increases utilization. Although the upper limit on efficiency is 100%, what can be done to achieve still higher levels of utilization?
In a job shop, effective capacity is only 50 percent of design capacity, and actual output
is 80 percent of effective output. What design capacity would be needed to achieve an
actual output of eight jobs per week?
A producer of pottery is considering the addition of a new plant to absorb the backlog of
demand that now exists. The primary location being considered with have fixed costs of
$9,200 per month and variable costs of 70 cents per unit produced. Each item is sold to
retailers at a price that averages 90 cents.
a. What volume per month is required in order to break even?
b. What profit would be realized on a monthly volume of 61,000 units? 87,000 units?
c. What volume is needed to obtain a profit of $16,000 per month?
d. What volume is needed to provide a revenue of $23,000 per month?
 Let's assume you are using simple smoothing constant with smoothing constant

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