A manager uses a trend equation plus quarterly relatives to predict demand. Quarter relatives are SR₁ = 0.90, SR2 = 0.95, SR3 = 1.05, and SR4 = 1.10, The trend equation is: Ft= 10 + 5t. Over the past nine quarters, demand has been as follows: Period, t: Demand: Period, t 1 2 1 14 Click here for the Excel Data File 3 4 5 6 7 8 9 2 20 3 24 Demand 14 20 24 31 31 37 43 48 52 4 31 Compute the MAD and tracking signal for each period. (Negative values should be indicated by a minus sign. Round your intermediate calculations and final answers to 3 decimal places.) MAD 5 31 6 37 7 43 Tracking Signal 9 8 48 52
A manager uses a trend equation plus quarterly relatives to predict demand. Quarter relatives are SR₁ = 0.90, SR2 = 0.95, SR3 = 1.05, and SR4 = 1.10, The trend equation is: Ft= 10 + 5t. Over the past nine quarters, demand has been as follows: Period, t: Demand: Period, t 1 2 1 14 Click here for the Excel Data File 3 4 5 6 7 8 9 2 20 3 24 Demand 14 20 24 31 31 37 43 48 52 4 31 Compute the MAD and tracking signal for each period. (Negative values should be indicated by a minus sign. Round your intermediate calculations and final answers to 3 decimal places.) MAD 5 31 6 37 7 43 Tracking Signal 9 8 48 52
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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Transcribed Image Text:A manager uses a trend equation plus quarterly relatives to predict demand. Quarter relatives are SR₁ = 0.90, SR2 = 0.95, SR3 = 1.05,
and SR4 = 1.10 The trend equation is: Ft = 10 + 5t. Over the past nine quarters, demand has been as follows:
Period, t:
Demand:
1
14
Period, t
1
2
3
4
5
6
7
8
9
2
20
Click here for the Excel Data File
3
24
Demand
14
20
24
31
31
37
43
48
52
5
4
31 31
MAD
6
37
Compute the MAD and tracking signal for each period. (Negative values should be indicated by a minus sign. Round your
intermediate calculations and final answers to 3 decimal places.)
7
43
Tracking Signal
8
48
9
52
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