Question

Problem 2 :8 points . In the Atlanta area, the number of daily calls for the repair of Speedy copy machines has been recorded as follows: October Calls 2 3 4 92 127 106 165 125 6 7 8 178 97 a) Prepare a three-period moving-average forecasts for the data. b) Prepare a three-period weighted-moving average forecasts using weights of wi-.5, w2-3, w3 2.

Answer 1

Please refer below table for forecast basis 3 period moving average as well as 3 period weighted moving average.

Please note ,

forecast on basis 3 period moving average :

Ft = ( At-1 + At-2 + At-3) / 3

Forecast on basis of 3 period weighted moving average

Ft =0.5 x At-1 + 0.3 x At-2 + 0.2 x At-3

October	Calls	Three period moving average	There period weighted mving average
1	92
2	127
3	106
4	165	108.33	109.5
5	125	132.67	139.7
6	111	132.00	133.2
7	178	133.67	126
8	97	138.00	147.3