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A manager uses a trend equation plus quarterly relatives to predict demand. Quarter relatives are SR1 = 0.9, SR2 = 0.95, SR3 = 1.05, and
A manager uses a trend equation plus quarterly relatives to predict demand. Quarter relatives are SR1 = 0.9, SR2 = 0.95, SR3 = 1.05, and SR4 = 1.1. The trend equation is: Ft = 8 + 4t. Over the past nine quarters, demand has been as follows: Period, t: 1 2 3 4 5 6 7 8 9 Demand: 11 16 19 25 28 32 35 38 44
Compute the MAD and tracking signal for each period.(Negative values should be indicated by a minus sign. Round your intermediate calculations and final answers to 3 decimal places.)
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