(See Solution) A manufacturer has experienced the following monthly demand for one of their products. Month Actual demand (in cases) February 1500 March
Question: A manufacturer has experienced the following monthly demand for one of their products.
Month Actual demand (in cases)
February 1500
March 2860
April 2950
May 3490
June 3000
- Using a three month moving average, what would the forecast and MAD have been for July?
- What would the three-month weighted moving average (using .4, .4, .2) and MAD have been for July? What would the MAD be using a regression?
- Which forecasting method would you recommend? Why?
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