Consider the following set of time series sales data for a growing company over the past 8 months: MonthSales115213318422520623722821Construct a time series plot. What type of pattern exists? Develop a forecast for the next month using the averaging method. Develop a forecast for the next month using the naïve last-value method. Develop a forecast for the next month using a four-month moving average method.Use the Excel Functions SLOPE and INTERCEPT to write the linear regression prediction equation with Months as the independent variable and sales as the dependent variable.Use the prediction equation to estimate the number of sales in month 9.

Solution 1. The time series plot is constructed by taking sales data on Y - axis and months on…

Answered: Construct a time series plot. What…

Practical Management Science

6th Edition

ISBN:9781337406659

Author:WINSTON, Wayne L.

Publisher:WINSTON, Wayne L.

Chapter2: Introduction To Spreadsheet Modeling

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Consider the following set of time series sales data for a growing company over the past 8 months:

Month	Sales
1	15
2	13
3	18
4	22
5	20
6	23
7	22
8	21

Construct a time series plot. What type of pattern exists?
Develop a forecast for the next month using the averaging method.
Develop a forecast for the next month using the naïve last-value method.
Develop a forecast for the next month using a four-month moving average method.
Use the Excel Functions SLOPE and INTERCEPT to write the linear regression prediction equation with Months as the independent variable and sales as the dependent variable.
Use the prediction equation to estimate the number of sales in month 9.

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