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Bob is a photographer who sells prints on consignment. Each week during the summer, Bob checks the inventory so that he can replenish the prints
Bob is a photographer who sells prints on consignment. Each week during the summer, Bob checks the inventory so that he can replenish the prints that have been sold. The following data show the number of prints sold each week during the last eight weeks. Complete parts a through e below.
tableWeekSold
The forecasted demand for Week using a twoperiod simple moving average is Type an integer or a decimal. Do not round.
b Calculate the MAD for the forecast in part a
MAD
Round to two decimal places as needed.
c Forecast the demand for Week using a threeperiod simple moving average.
The forecasted demand for Week using a threeperiod simple moving average is Round to two decimal places as needed.
d Calculate the MAD for the forecast in part
MAD
Round to two decimal places as needed.
e Which forecast should you choose?
Choose the correct answer below.
A Choose the twoperiod simple moving average, because it has the lower MAD.
B Choose the twoperiod simple moving average, because it has the higher MAD.
C Choose the threeperiod simple moving average, because it has the lower MAD.
D Choose the threeperiod simple movIng average, because it has the higher MAD
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