Operations Management
11th Edition
ISBN: 9780132921145
Author: Jay Heizer
Publisher: PEARSON
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Textbook Question
Chapter 4, Problem 41P
Bus and subway ridership for the summer months in London, England, is believed to be tied heavily to the number of tourists visiting the city. During the past 12 years, the data on the next page have been obtained:
Associated Press
| YEAR (SUMMER MONTHS) | NUMBER OF TOURISTS (IN MILLIONS) | RIDERSHIP (IN MILLIONS) | ||
| 1 | 7 | 1.5 | ||
| 2 | 2 | 1.0 | ||
| 3 | 6 | 1.3 | ||
| 4 | 4 | 1.5 | ||
| 5 | 14 | 2.5 | ||
| 6 | 15 | 2.7 | ||
| 7 | 16 | 2.4 | ||
| 3 | 12 | 2.0 | ||
| 3 | 14 | 2.7 | ||
| 10 | 20 | 4.4 | ||
| 11 | 15 | 3.4 | ||
| 12 | 7 | 1.7 | ||
- a. Plot these data and decide if a linear model is reasonable.
- b. Develop a regression relationship.
- c. What is expected ridership if 10 million tourists visit London in a year?
- d. Explain the predicted ridership if there are no tourists at all.
- e. What is the standard error of the estimate?
- f. What is the model’s correlation coefficient and coefficient of determination?
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Alvin Cheah is a marketing analyst for Rockstar Travel Company. He wants to analyze the trend of international tourist arrival in Tawau by using international tourist arrival rate and flight delayed rate over the past 10 years as given in Table 2 below: (Hint: Provides your answers in two decimal points)
Table 2
Year
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2013
2014
2015
2016
2017
2018
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35.5
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4.6
4.7
4.5
a） Propose ONE (1) forecasting model that can be used by Alvin. Why would you proposed that particularmodel?
b) Develop the forecasting model that you suggest in
(i). Briefly explain your
Alvin Cheah is a marketing analyst for Rockstar Travel Company. He wants to analyze the trend of
international tourist arrival in Tawau by using international tourist arrival rate and flight delayed rate over
the past 10 years as given in Table 2 below: (Hint: Provides your answers in two decimal points)
Table 2
Year
2010
2011
2012
2013
2014
2015
2016
2017
2018
2019
Arrival
35.5
28.0
30.3
36.0
49.5
56.0
72.4
71.0
79.3
96.0
C000)
Delayed
4.2
3.8
3.8
3.5
4.6
4.5
4.6
4.6
4.7
4.5
rate
(1) Propose ONE (1) forecasting model that can be used by Alvin. Why would you proposed that
particular model?
(5 marks)
(ii) Develop the forecasting model that you suggest in (i). Briefly explain your model.
(20 marks)
Please forecast the mileage for 2013 (in 10) using a weighted average method with a 0.6 as a weight for the most recent period and 0.4 for the next. Keep one decimal place
Chapter 4 Solutions
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