Need asnwer for 5-19

182 CHAPTER 5 FORECASTING 9: 5-17 Data collected on the yearly demand for 50-poundton : 5-23 W bags of fertilizer at Wallace Garden Supply are shown in the following table. Develop a 3-year mov- ing average to forecast sales. Then estimate demand again with a weighted moving average in which sales in the and sales in most recent year are given a weight of 2 the other 2 years are each given a weight 25 of i. Which mecthod do you think is best? DEMAND FOR FERTILIZER (1,000s OF BAGS) YEAR 5-18 Develop a trend line for the demand for fertilizer in Problem 5-17, using any computer software. :5-19 In Problems 5-17 and 5-18, three different fore- casts were developed for the demand for fertilizer These three forecasts are a 3-year moving average, a weighted moving average, and a trend line. Which one would you use? Explain your answer. 5-20 Use exponential smoothing with a smoothing con- stant of 0.3 to forecast the demand for fertilizer given in Problem 5-17. Assume that last period's forecast for year 1 is 5,000 bags to begin the pro- cedure. Would you prefer to use, the exponential smoothing model or the weighted average model developed in Problem 5-17? Explain your