A paint company has three sources for buying bright red pigment for its paints: Vietnam, Taiwan, and Thailand.Unfortunately, the pigment is made from a bush whose annual growth is heavily dependent upon the amount of rainfallduring the growing season. The following tables show probabilities and prices for wet, dry, and normal growing seasons.ProbabilitiesWet Dry NormalVietnam 0.5 0.2Taiwan0.6 0.3Thailand 0.4 0.4Price/Pound ($)Vietnam 0.96 1.11Taiwan 0.86 1.25Wet Dry NormalThailand 0.92 1.190.3What country shoul the company select?ThailandTaiwanVietnam0.10.21.050.991.06What is the expected value (price) associated with it?

A paint company has 3 sources to buy red pigment for its paints:VietnamTaiwanThailandThe…

Answered: A paint company has three sources for…

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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Explain the function of demand forecasting in the logistics system and supply chain of a company! Then determine the demand forecasting value for the next 12 months based on the following historical data using several quantitative methods such as linear regression, exponential smoothing, and moving average! Note: The moving average period is 3 months, while the alpha for exponential smoothing is 0.53
For the causal analysis forecasting method, which variables would a business identify as being relevant to their organization’s sales?
Scenario 1 | New Hybrid Cultures Will Develop and Personal Horizons Will Broaden Scenario 2 | Although the Outward Expressions of National Culture Will Continue to Become More Homogeneous, Distinct Values Will Tend to Remain Stable Scenario 3 | Nationalism Will Continue to Reinforce Cultural Identity Scenario 4 | Existing National Borders Will Shift to Accommodate Ethnic Differences Identify the cultural scenario that is the most credible—that is, the forecast that you see most likely to prove accurate in the next decade. Why?
Mr Brown a small-scale manufacturer of musical instruments thinks that the demand for guitars may be related to the number of television appearances by the popular group Maroon 5 during the previous month. He has collected the data shown in the table attached; Using the least squares regression method derive a forecasting equation. Determine the estimate for guitar sales if Maroon 5 performed on TV nine times last month?
George Kypansis owns a company that manufactures sailboats. Actual demand for George's sailboats during each of the past four seasons was as follows Year P Season Winter Spring Summer Fall 1 1.400 1,520 1,000 640 2 1,200 1,420 2,100 770 3 1,000 1,620 2,020 650 4 900 1,580 1,960 560 George has forecasted that annual demand for his sailboats in year 5 will equal 6.500 sailboats Based on the given data and using the seasonal model, the demand level for George's salboats in the spring of year 5 will be sailboats (enter your final answer as a whole number and round a intermediate calculations to two decimal places)
A random sample of 10,000 customers was selected over a six month period. The data provides information on their current status with the bank as well as 12 additional attributes describing their demographic and banking information. what are the key predictors the bank should be aware of with their customers? Examples are included, but not limited to:Are female customers leaving more than males? Is there indication of customer departures associated with specific countries?Is there evidence of salary associated departures? what is an appropiate marketing strategy to attract and retain long term customers
The manager of the I-85 Carpet outlet needs to be able toforecast accurately the demand for Soft Shag carpet (its biggest seller). If the manager does not order enough car-pet from the carpet mill, customers will buy their carpets from one of the outlets many competitors. The managerhas collected the following demand data for the past eightmonths. a. Compute a three-month moving average forecast formonths 4 through 9. b. Compute a weighted three-month moving average fore-cast for months 4 through 9. Assign weights of 0.55, 0.33, and 0.12 to the months in sequence, starting withthe most recent month.c. Compare the two forecasts using MAD. Which forecastappears to be more accurate? Month Demand for Soft Shag Carpet (1000 yd)1 52 103 64 85 146 107 98 12
Given the following data, use least-squares regression to derive a trend equation: Period Demand 1 8 where y = Demand and x = Period. 2 9 3 7 4 8 5 9 O 6 13 The least-squares regression equation that shows the best relationship between demand and period is (round your responses to two decimal places): >=0+0x.
Prepare a graph of the monthly forecasts and average forecast demand for Chicago Paint Corp., a manufacturer of specialized paint for artists. Compute the demand per day for each month (round your responses to one decimal place). Month January February March April May June July August September October November December Choose the correct graph of the forecast demands below. OA Production Days 2222222222 23 19 20 21 20 23 21 20 19 Demand Forecast 950 1,050 1,250 1,350 1,300 1,300 1,250 1,150 1,050 1,000 1,000 950 Demand per Day 325
Sales of Volkswagens have grown steadily at auto dealerships in Nevada during the past 5 years (see table below). Year Sales 1 460 2 502 3 518 4 575 5 580 Part 2 a) Forecasted sales for year 6 using the trend projection (linear regression) method are enter your response here sales (round your response to one decimal place).
The number of cases of merlot wine sold by the Connor Owen winery in an eight-year period is as follows: YEAR CASES OF MERLOT WINE 1 270 2 356 3 398 4 456 5 358 6 500 7 410 8 376 Using an exponential smoothing model with an alpha value of 0.20, estimate the smoothed value calculated as of the end of year 8. Use the average demand for years 1 through 3 as your initial forecast for year 4, and then smooth the forecast forward to year 8. Note: Round your intermediate calculations and final answer to the nearest whole number.
The Carbondale Hospital is considering the purchase of a new ambulance. The decision will rest partly on the anticipated mileage to be driven next year. The miles driven during the past 5 years are as follows: 1 3,000 2 3,950 3 3,400 Year Mileage a) Using a 2-year moving average, the forecast for year 6 = miles (round your response to the nearest whole number). 4 3,750 5 3,750

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