b. Compute a weighted three-month moving average forecast for months 4 through 9.Assign weights of 0.55, 0.33, and 0.12 to the months in sequence, starting with themost recent month.c. Compare the two forecasts using MAD. Which forecast appears to be moreaccurate?12.3 The LawnPlus Fertilizer Company distributes fertilizer to various lawn and gardenshops. The company must base its quarterly production schedule on a forecast of howmany tons of fertilizer will be demanded from it. The company has gathered thefollowing data for the past three years from its sales records.Demand for Fertilizer (ton)Year123Quarter12345678910111210515093121140170105150150170110130a. Compute a three-quarter moving average forecast for quarters 4 through 13and compute the forecast error for each quarter.b. Compute a five-quarter moving average forecast for quarters 6 through 13 andcompute the forecast error for each quarter.c. Compute a weighted three-quarter moving average forecast using weights of0.50, 0.33, and 0.17 for the most recent, next recent, and most distant data,respectively, and compute the forecast error for each quarter.d. Compare the forecasts developed in parts (a), (b), and (c) using cumulativeerror. Which forecast appears to be most accurate? Do any exhibit any bias? 12.2 The manager of the I-85 Carpet outlet needs to be able to forecast accurately thedemand for Soft Shag carpet (its biggest seller). If the manager does not order enoughcarpet from the carpet mill, customers will buy their carpets from one of the outletsmany competitors. The manager has collected the following demand data for the past 8months.Month12345678Demand for Soft Shag Carpet (1000 yd)510681410912a. Compute a three-month moving average forecast for months 4 through 9.

NOTE: We are allowed to do one question only. Thus, the answer to 12.2 is as below: Forecasting…

Answered: 12.2 The manager of the I-85 Carpet…

Practical Management Science

6th Edition

ISBN:9781337406659

Author:WINSTON, Wayne L.

Publisher:WINSTON, Wayne L.

Chapter2: Introduction To Spreadsheet Modeling

Section: Chapter Questions

Problem 20P: Julie James is opening a lemonade stand. She believes the fixed cost per week of running the stand...

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Please solve this
The K&R Camera shop sells all the latest cameras and accessories. To meet customer demand, the manager must forecast demand for items she sells. Lately the XR-42S zoom lens has been very popular. Recent monthly demand for this item has been as shown: Number of Lenses Month Sold 1 12 17 2 3 4 15 20 18 23 6.
The demand data for Double T Computer Services appears below. The company wants you to forecast the demand for period 4. What is your forecast using the least squares method? Period Demand 1 37 2 40 3 40
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12.7 The Intrepid mutual fund of growth stocks has had the following average monthly price for the past 10 months. Month 1 2 3 4 5 6 7 8 9 10 Fund Price 62.7 63.9 68.0 66.4 67.2 65.8 68.2 69.3 67.2 70.1 Compute the exponentially smoothed forecast with a = 0.40, the adjusted exponentially smoothed forecast with a = 0.40 and ß = 0.30, and the linear trend line forecast. Compare the accuracy of the three forecasts using cumulative error and MAD, and indicate which forecast appears to be most accurate.
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