Question (1): Read the following case study and answer the question below: (8 marks) Forecasting and sustainability Planning for any event requires a forecast of the future. In sustainability, this includes forecasting future availability of scarce resources, pollution trends and future levels of pollutants, and innovations that will impact sustainability practices, even issues of climate change. For example, numerous forecasting techniques are used to scientifically predict the effects of climate change. These forecasts impact the plans that are made by policymakers and organizations, and how money and resources are allocated to mitigate risks. An example might be PepsiCo's development of plastic bottle made exclusively from recycled material. We may want to forecast the likelihood of success for this new product and the timing of it reaching the market, as this would significantly alter sustainability practices. Companies in the plastics industry would be interested in that forecast to prepare for such a change. Forecasting is critical to sustainability, as it lets us peek into the future. It is especially important in predicting energy trends, availability of resources, technological innovation and the economy and identifying driving forces that will shape change. Questions: The case study above, critically considers breakthrough innovations in sustainability that is linked with forecasting and can change the way we do business. Give one real example with explanation representing forecasting and sustainability in an organization. Question (2): Answer the following problem: (6 marks) a- Sales for a product for the past three months have been 200,350, and 287. Use a three month moving average to calculate a forecast for the fourth month. If the actual demand for month 4 turns out to be 300, calculate the forecast for month 5. (4 marks) b. What is the forecast for April based on a weighted moving average applied to the following past demand data and using the weights: 0.5, 0.5, and 0.25 (largest weight is for most recent data)? (2 marks) Demand Forecast 38 Month December January February March