8. Block Commodities has gathered the following information concerning rock salt deliveries to its clients, which it believes are highly seasonal: Average Monthly 83.5 68.25 59 Year 1 Year 2 Year 3 Year 4 January 84 78 80 70 50 100 80 February March 65 66 15 70 25 15 15 15 50 20 20 20 50 30 10 10 April 22.5 May June 13.75 13.75 13.75 10 10 10 July August 20 10 10 150 50 40 20 30 September 50 October 110 150 November 200 200 60 170 190 210 180 200 180 120 200 120 150 180 172.5 170 December Total Annual 955 920 923 950 a. Suppose Block Commodities calculated a set of seasonal relatives to express this monthly variation in rock salt deliveries, using this set of data. What would be the value of the seasonal relative for the month of July? What would be the value of the seasonal relative for the month of December? b. Block Commodities believes that this year will be a busy year for rock salt deliveries, forecasting a total of 1,200 tons to be delivered during the year. Using this annual forecast and Block's set of seasonal relatives, what would be a logical forecast for May of next year? What would be a logical forecast for October of next year?
8. Block Commodities has gathered the following information concerning rock salt deliveries to its clients, which it believes are highly seasonal: Average Monthly 83.5 68.25 59 Year 1 Year 2 Year 3 Year 4 January 84 78 80 70 50 100 80 February March 65 66 15 70 25 15 15 15 50 20 20 20 50 30 10 10 April 22.5 May June 13.75 13.75 13.75 10 10 10 July August 20 10 10 150 50 40 20 30 September 50 October 110 150 November 200 200 60 170 190 210 180 200 180 120 200 120 150 180 172.5 170 December Total Annual 955 920 923 950 a. Suppose Block Commodities calculated a set of seasonal relatives to express this monthly variation in rock salt deliveries, using this set of data. What would be the value of the seasonal relative for the month of July? What would be the value of the seasonal relative for the month of December? b. Block Commodities believes that this year will be a busy year for rock salt deliveries, forecasting a total of 1,200 tons to be delivered during the year. Using this annual forecast and Block's set of seasonal relatives, what would be a logical forecast for May of next year? What would be a logical forecast for October of next year?
Practical Management Science
6th Edition
ISBN:9781337406659
Author:WINSTON, Wayne L.
Publisher:WINSTON, Wayne L.
Chapter2: Introduction To Spreadsheet Modeling
Section: Chapter Questions
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Transcribed Image Text:8. Block Commodities has gathered the following information concerning rock salt deliveries to its clients,
which it believes are highly seasonal:
Дусгаge
Monthly
83.5
Year 1 Year 2 Year 3 Year 4
January
February
84
78
80
70
100
65
50
80
68.25
March
66
70
50
50
59
April
May
June
July
August
September 50
October
November 200
December
15
25
20
30
22.5
10
15
20
10
13.75
13.75
13.75
20
10
10
15
10
15
20
10
20
180
50
10
30
40
60
170
190
210
150
200
120
110
180
172.5
150
200
180
120
200
150
170
Total
Annual
923
955
950
920
a. Suppose Block Commodities calculated a set of seasonal relatives to express this monthly variation in rock
salt deliveries, using this set of data. What would be the value of the seasonal relative for the month of July?
What would be the value of the seasonal relative for the month of December?
b. Block Commodities believes that this year will be a busy year for rock salt deliveries, forecasting a total of
1,200 tons to be delivered during the year. Using this annual forecast and Block's set of seasonal relatives,
what would be a logical forecast for May of next year? What would be a logical forecast for October of next
уear?
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