10. (LO 5) Below are the data for the maximum production of the only two products for the countries of Oz and Zas. Oz: 40 food units OR 20 equipment units Zas: 20 food units OR 30 equipment units a) If each country is self-sufficient, with no trade between them, and each uses one-half of its resources to produce each of the two products, what is the output in each country? Oz: Zas: food units and equipment units food units and equipment units b) What is the total production of each product? _food units and equipment units c) If, instead, each country specializes and produces only the product that it can produce best, what will be the output in each country? food units and equipment units Oz: Zas: food units and equipment units food units and d) Now what is the total production of each product? e) What are the gains from trade? equipment units food units and equipment units ANSWER QUESTION #10 HERE (12 MARKS) FOOD UNITS A OZ ZAS B C OZ G ZAS D E EQUIPMENT UNITS OZ ZAS OZ ZAS (Source: lonex) Elite Electric is a GTA based company that has been in business for over 30 years. They manufacture a variety of products in the Electrical Supply Industry in Canada and the U.S. Many of their products manufactured are sold to cities and towns as well as to Provincial/ State Electrical Companies. About half of their sales consists of spare parts for their products that are in service. Annual sales are approaching the twenty-five million dollars per year. Elite is having trouble with their forecasting. One of their more popular (and long lead-time) items is the energy storage system. With each system sold, they are ensured of sales of spare parts for several years to come. If the customer places the order with a different supplier, then those future sales are lost. This item requires about ten days to manufacture parts, assemble and test. Each energy storage system brings in approximately $3,000 in revenue. The company generally runs a make-to-order system, producing the products as they are ordered. Lately, they have had trouble meeting order dates, resulting in cancellation of orders. Often, they run short of the required materials to make these products, because they are trying to minimize inventory costs. At the last Executive Meeting, there was a lot of discussion about making this product a stock item and manufacturing them to a forecast. The Supply Manager was quick to point out the challenges of this type of system. You have been hired as a Business Graduate from Seneca College. One of your first tasks is to suggest a method of forecasting for this item. There does not seem to be any seasonal influence or trend in this market. You have been provided with the historical demand from 2021 and you will use these numbers to do some experimenting with Simple Moving Averages, Weighted Moving Averages and Exponential Smoothing. 2021 Sales Elite Electric Units Sold Jan 250 Feb 270 Mar 210 Apr 314 May 346 Jun 297 Jul 165 Aug 361 Sep 310 Oct 347 Nov 290 Dec 311 Submit ONE EXCEL Document containing: Your name, section, and student number. 1. 2. Table One (20%): A) Calculate a 3-month Simple moving average, for Apr -Dec to show what your forecasts would have been for 2021. Calculate the Mean Absolute Deviation, the mean squared error and the mean absolute percent error for this set of data. B) Calculate a 2-month Simple moving average for March-Dec of 2021. Calculate the Mean Absolute Deviation, mean squared error and mean absolute percent error. C) Create a text box beside the table with a sentence indicating which of the two forecasts might be more accurate and why. Table Two (20%): A) Calculate a 3-month weighted moving average with weighting of .5, .3, .2, for Apr- Dec of 2021. Calculate the Mean Absolute Deviation, the mean squared error and the mean absolute percent error. B) Calculate a second 3-month Weighted moving average using weights of .8, .15, .05 for Apr-Dec of 2021. Calculate the Mean Absolute Deviation, mean squared error and mean absolute percent error for this method. C) Create a text box beside the table indicating which of the two forecasts might be more accurate and why.