Question: Monthly demand for a product as shown below (also given in the attached file). Month Year 1 Year 2 Year 3 Year 4 Year 5

Monthly demand for a product as shown below (also given in the attached file).

Month Year 1 Year 2 Year 3 Year 4 Year 5
JAN 2000 3000 2000 5000 5000
FEB 3000 4000 5000 4000 2000
MAR 3000 3000 5000 4000 3000
APR 3000 5000 3000 2000 2000
MAY 4000 5000 4000 5000 7000
JUN 6000 8000 6000 7000 6000
JUL 7000 3000 7000 10000 8000
AUG 6000 8000 10000 14000 10000
SEP 10000 12000 15000 16000 20000
OCT 12000 12000 15000 16000 20000
NOV 14000 16000 18000 20000 22000
DEC 8000 10000 8000 12000 8000

Plot the data and discuss about systematic components of demand. Forecast the monthly demand for Year 6 using Winter's Model, given

= 0.1, = 0.2, = 0.1. Evalute the MAD, MSE, MAPE.

Run a liner regression to compute the level and trend componenets.

Seasonal Facator for first year given as S_1=0.427 S_2= 0.475 S_3= 0.463 S_4= 0.398 S_5= 0.621 S_6= 0.834 S_7= 0.853 S_8= 1.151 S_9= 1.733 S_10= 1.778 S_11= 2.124 S_12= 1.095

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