Year Mileage 1 3,000 2 4,050 3 3,450 4 3,800 5 3,800 a) Using a 2-year moving average, the forecast for year 6 = 3800 miles (round your response to the nearest whole number). b) If a 2-year moving average is used to make the forecast, the MAD based on this = miles (round your response to one decimal place). (Hint: You will have only 3 years of matched data.) c)The forecast for year 6 using a weighted 2-year moving average with weights of 0.40 and 0.60 (the weight of 0.60 is for the most recent period) = miles (round your response to the nearest whole number).?The MAD for the forecast developed using a weighted 2-year moving average with weights of 0.40 and 0.60 (round your response to one decimal place). (Hint: You will have only 3 years of matched data.)? d) Using exponential smoothing with alpha ? 0.30 and the forecast for year 1 being 3,050, the forecast for year 8 (round your response to the nearest whole number).?
Year Mileage 1 3,000 2 4,050 3 3,450 4 3,800 5 3,800 a) Using a 2-year moving average, the forecast for year 6 = 3800 miles (round your response to the nearest whole number). b) If a 2-year moving average is used to make the forecast, the MAD based on this = miles (round your response to one decimal place). (Hint: You will have only 3 years of matched data.) c)The forecast for year 6 using a weighted 2-year moving average with weights of 0.40 and 0.60 (the weight of 0.60 is for the most recent period) = miles (round your response to the nearest whole number).?The MAD for the forecast developed using a weighted 2-year moving average with weights of 0.40 and 0.60 (round your response to one decimal place). (Hint: You will have only 3 years of matched data.)? d) Using exponential smoothing with alpha ? 0.30 and the forecast for year 1 being 3,050, the forecast for year 8 (round your response to the nearest whole number).?
Practical Management Science
6th Edition
ISBN:9781337406659
Author:WINSTON, Wayne L.
Publisher:WINSTON, Wayne L.
Chapter13: Regression And Forecasting Models
Section: Chapter Questions
Problem 40P: The Baker Company wants to develop a budget to predict how overhead costs vary with activity levels....
Related questions
Question
![The Carbondale Hospital is considering the purchase of a new ambulance. The decision will rest partly on the
anticipated mileage to be driven next year. The miles driven during the past 5 years are as follows:
Year
Mileage
1
3,000
2
4,050
3
3,450
4
3,800
5
3,800
a) Using a 2-year moving average, the forecast for year 6 = 3800 miles (round your response to the nearest
whole number).
b) If a 2-year moving average is used to make the forecast, the MAD based on this = miles (round your response
to one decimal place). (Hint: You will have only 3 years of matched data.)
c)The forecast for year 6 using a weighted 2-year moving average with weights of 0.40 and 0.60 (the weight of 0.60 is for the most recent period) =
miles (round your response to the nearest whole number).?The MAD for the forecast developed using a weighted 2-year moving average with weights
of 0.40 and 0.60 (round your response to one decimal place). (Hint: You will have only 3 years of matched data.)?
d) Using exponential smoothing with alpha ? 0.30 and the forecast for year 1 being 3,050, the forecast for year 8 (round your response to the nearest
whole number).?](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2Fa532d6c3-fc4a-4c4d-b082-7cb1920e9739%2F2dab0aaf-80dd-485d-b4d8-9d0e6651754e%2Fhav2ds_processed.png&w=3840&q=75)
Transcribed Image Text:The Carbondale Hospital is considering the purchase of a new ambulance. The decision will rest partly on the
anticipated mileage to be driven next year. The miles driven during the past 5 years are as follows:
Year
Mileage
1
3,000
2
4,050
3
3,450
4
3,800
5
3,800
a) Using a 2-year moving average, the forecast for year 6 = 3800 miles (round your response to the nearest
whole number).
b) If a 2-year moving average is used to make the forecast, the MAD based on this = miles (round your response
to one decimal place). (Hint: You will have only 3 years of matched data.)
c)The forecast for year 6 using a weighted 2-year moving average with weights of 0.40 and 0.60 (the weight of 0.60 is for the most recent period) =
miles (round your response to the nearest whole number).?The MAD for the forecast developed using a weighted 2-year moving average with weights
of 0.40 and 0.60 (round your response to one decimal place). (Hint: You will have only 3 years of matched data.)?
d) Using exponential smoothing with alpha ? 0.30 and the forecast for year 1 being 3,050, the forecast for year 8 (round your response to the nearest
whole number).?
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