Question: Use the following Sales Data to a) Develop a 4-month moving average forecast, a forecast for January, and compute the MAD. b)Develop 3-month moving average
Use the following Sales Data to
a) Develop a 4-month moving average forecast, a forecast for January, and compute the MAD.
b)Develop 3-month moving average forecast, a forecast for January, and calculate a MAD.
c) Which model should be used in the future? Explain why this is your answer.
| Month | Actual Shed Sales | |
| 1 | January | 10 |
| 2 | February | 12 |
| 3 | March | 13 |
| 4 | April | 16 |
| 5 | May | 19 |
| 6 | June | 23 |
| 7 | July | 26 |
| 8 | August | 30 |
| 9 | September | 28 |
| 10 | October | 18 |
| 11 | November | 16 |
| 12 | December | 14 |
| 13 | January |
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