Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Car sales at a dealership are shown quarterly as follows: Period Year Quarter Sales 1 1 98 2 1 II 106 3 1 109 4

image text in transcribed
Car sales at a dealership are shown quarterly as follows: Period Year Quarter Sales 1 1 98 2 1 II 106 3 1 109 4 1 IV 133 5 2 130 6 2 II 116 7 2 III 133 8 2 IV 116 3 138 10 3 II 130 11 3 147 12 3 141 13 144 14 142 15 4 III 165 16 IV 173 - EE-EE-EE-EE 9 1) 150 Points| Estimate sales in period 17 using four-period moving average, simple exponential smoothing with a=0.1, and linear trend equation methods. Evaluate the MAD, MSE and MAPE for forecasted data in each case. Which methods do you prefer? Why? 2) 130 Points) Estimate sales in period 17 using the trend-adjusted exponential smoothing model with a=0.1 and 3-0.15. Evaluate the MAD, MSE and MAPE for forecasted data. Estimate the optimal combination of smoothing constants. Using the optimal smoothing constants, comment whether this method is resulted better forecasts than the ones in Q-1. 3) (20 Points] Using the multiplicative seasonal method, calculate the seasonal indexes and forecast sales in periods 17-20 if the expected sales in year 5 is 660. Car sales at a dealership are shown quarterly as follows: Period Year Quarter Sales 1 1 98 2 1 II 106 3 1 109 4 1 IV 133 5 2 130 6 2 II 116 7 2 III 133 8 2 IV 116 3 138 10 3 II 130 11 3 147 12 3 141 13 144 14 142 15 4 III 165 16 IV 173 - EE-EE-EE-EE 9 1) 150 Points| Estimate sales in period 17 using four-period moving average, simple exponential smoothing with a=0.1, and linear trend equation methods. Evaluate the MAD, MSE and MAPE for forecasted data in each case. Which methods do you prefer? Why? 2) 130 Points) Estimate sales in period 17 using the trend-adjusted exponential smoothing model with a=0.1 and 3-0.15. Evaluate the MAD, MSE and MAPE for forecasted data. Estimate the optimal combination of smoothing constants. Using the optimal smoothing constants, comment whether this method is resulted better forecasts than the ones in Q-1. 3) (20 Points] Using the multiplicative seasonal method, calculate the seasonal indexes and forecast sales in periods 17-20 if the expected sales in year 5 is 660

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Smart Supply Chain Finance

Authors: Hua Song

1st Edition

9811659966, 978-9811659966

More Books

Students also viewed these Finance questions

Question

3. Describe the major components of intelligent agents.

Answered: 1 week ago