Question: Please solve it manually. Do not use excel. Consider the following forecasting method: Weighted moving average (WMA) method is basically the same as moving averages,

Please solve it manually. Do not use excel. Consider the following forecasting

Please solve it manually. Do not use excel.

Consider the following forecasting method: Weighted moving average (WMA) method is basically the same as moving averages, with one major exception. With weighted moving averages, the weight assigned to each past data point used in the calculation can vary. In this way, more influence can be given to some data points, typically the most recent demand point. The formulation is given below: Ft=w1Dt1+w2Dt2++wnDtnwherei=1nwi=1 n is the number of periods being used. Now, solve the following question: A demand pattern for 10 periods for a product was given as 127,113,121123,117,109,131,115, 127 and 118. Forecast for the demand for period 11 using each of the following methods: a 3-month weighted moving average using weights of 0.2,0.3 and 0.5 ; and exponential smoothing with a smoothing constant of 0.XX (last two digits of your student ID after the decimal point (for example: if your student ID is 63171234, you should use =0.34 ) Compute the MAD for each method to determine which method would be preferable under the circumstances. Complete the necessary cells of the following table

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