Question: Please assist Section B [60 marks] (20 marks) Study the scenario provided below and answer all questions that follow. InSight Limited imports reading glasses from
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Section B [60 marks] (20 marks) Study the scenario provided below and answer all questions that follow. InSight Limited imports reading glasses from China for sale in a Southern African country. During the 2021 financial year, the company adhered to the policy of importing 6000 pairs of reading glasses every month. The actual monthly sales of reading glasses by InSight Limited during the 2021 financial year is depicted in Table 2.1 below. The company paid R5 000 to place an order for the reading glasses and a carrying cost of R2.00 for each pair of reading glasses during 2021. January 2021 Table 2.1: Actual sales data for the reading glasses during 2021 4.2 Determine the Mean Absolute Deviation (MAD) of the three-month-weighted-moving average monthly forecasts for the April - December 2021 period. (4 marks) a. The linear regression equation of the sales of reading glasses for the 2021 financial year is given by the expression: y=201.4x+4091 (where ' y ' denotes monthly sales, and ' x ', the number representing the month. For example, x=1,2,3, etc., if the month is January, February, March, regression forecasts for the April- December 2021 period. regression forecasts for the April - December 2021 period (5 marks) b. Which of the two methods is better at forecasting the sales of the reading classes? Explain (2 marks)
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