MONTH January February March April SALES 22,000 21,000 SALES 102,00 33,00 July 84,00 August 46,00 mining two forecasting methods, moving average and exponential smoothing for forecam ecast be for January the following year using a three, four, and five-month moving ave MONTH May June 34,000 120,000

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The Toro Cutlery Company has collected monthly sales information below!
MONTH
January
February
March
April
SALES
22,000
21,000
34,000
120,000
Forecast (January, 3-month MA)
Forecast (January, 4-month MA):
Forecast (January, 5-month MA):
SALES
102,000
33,000
MONTH
MONTH
SALES
May
September 28,000
June
76,000
October
November
July
84,000
79,000
August
46,000 December
87,000
The company is examining two forecasting methods, moving average and exponential smoothing for forecasting sales
a. What will the forecast be for January the following year using a three, four, and five-month moving averages? Do not round intermediate calculations. Round your answers to the nearest
whole number
b. What will the forecast be for January the following year using exponential smoothing with a 0.77 Assume the forecast for February this year is 22,000. Do not round intermediate
calculations. Round your answer to the nearest whole number
Transcribed Image Text:The Toro Cutlery Company has collected monthly sales information below! MONTH January February March April SALES 22,000 21,000 34,000 120,000 Forecast (January, 3-month MA) Forecast (January, 4-month MA): Forecast (January, 5-month MA): SALES 102,000 33,000 MONTH MONTH SALES May September 28,000 June 76,000 October November July 84,000 79,000 August 46,000 December 87,000 The company is examining two forecasting methods, moving average and exponential smoothing for forecasting sales a. What will the forecast be for January the following year using a three, four, and five-month moving averages? Do not round intermediate calculations. Round your answers to the nearest whole number b. What will the forecast be for January the following year using exponential smoothing with a 0.77 Assume the forecast for February this year is 22,000. Do not round intermediate calculations. Round your answer to the nearest whole number
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