The attached excel file has two sets of data. First, a set of monthly sales. Second, some EOQ inventory data. Your assignment has two parts.

$1.(20$ points$).$ Use the sales data to develop a forecast for period $25$ that you feel best represents the data. You can use any of the tools included in Chapter $4.$ You should also provide supporting information on forecast error that shows why you think your forecasting method is best. You likely will want to present a few forecasting methods and then show me why your recommended method is best. If you are using exponential smoothing, the initial forecast for period $1$ was $29,000.$ That will allow you to start the smoothing process.

$2.(10$ points$).$ Utilize the EOQ model to recommend a number of items to order each time. Also provide a summary of the following equation: Total Inventory Costs $=$ Total Ordering Costs $+$ Total Holding Costs. Submit the solutions as an excel file. Problem $1$

Sales data

Month Sales

$1.29,324$

$2.29,697$

$3.26,964$

$4.29,994$

$5.24,842$

$6.32,879$

$7.32,931$

$8.31,763$

$9.33,172$

$10.33,918$

$11.37,445$

$12.35,373$

$13.27,759$

$14.21,139$

$15.30,266$

$16.26,018$

$17.32,443$

$18.28,439$

$19.26,253$

$20.35,447$

$21.28,577$

$22.37,236$

$23.36,002$

$24.37,707$

Problem $2$

EOQ data

Weekly demand: $8$

Order cost: $ $10\mathrm{.}00$

Carry cost: $20\%$

Item cost: $ $80\mathrm{.}00$