The Toro Cutlery Company has collected monthly sales information below: SALES MONTH 15,000 May 18,000 June 33,000 July 115,000 August The company is examining two forecasting methods, moving average and exponential smoothing for forecasting sales. MONTH January February March April SALES 77,000 30,000 80,000 44,000 MONTH September October November December SALES 34,000 101,000 68,000 84,000 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. Forecast (January, 3-month MA): Forecast (January, 4-month MA): Forecast (January, 5-month MA): b. What will the forecast be for January the following year using exponential smoothing with a = 0.4? Assume the forecast for February this year is 15,000. Do not round intermediate calculations. Round your answer to the nearest whole number.

The Toro Cutlery Company has collected monthly sales information below: SALES MONTH 15,000 May 18,000 June 33,000 July 115,000 August The company is examining two forecasting methods, moving average and exponential smoothing for forecasting sales. MONTH January February March April SALES 77,000 30,000 80,000 44,000 MONTH September October November December SALES 34,000 101,000 68,000 84,000 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. Forecast (January, 3-month MA): Forecast (January, 4-month MA): Forecast (January, 5-month MA): b. What will the forecast be for January the following year using exponential smoothing with a = 0.4? Assume the forecast for February this year is 15,000. Do not round intermediate calculations. Round your answer to the nearest whole number.

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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