Case $2.$

A manufacturing company bases its annual sales predictions on official results of total demand in the industry. The total demand data and sales made by the company in the last $7$ years are given below.

Demand total Sales

$($thousands$)$

$20020$

$30015$

$60045$

$86615$

$100040$

$57050$

$450100$

i$)$ A $2-$year moving average.

ii$)$ A $6-$year weighted moving average using $0\mathrm{.}1,0\mathrm{.}2,$ and $0\mathrm{.}3,$ with the highest weights to the most recent months.

iii$)$ Exponential smoothing with $\backslash$alpha $=0\mathrm{.}3$ and a forecast for year $5.$

c$)$ With the data provided, what method would allow you to prepare the sales forecast for year $8?$Case $2.$

A manufacturing company bases its annual sales predictions on official results of total demand in the industry. The total demand data and sales made by the company in the last $7$ years are given below.

Demand total Sales

$($thousands$)$

$20020$

$30015$

$60045$

$86615$

$100040$

$57050$

$450100$

i$)$ A $2-$year moving average.

ii$)$ A $6-$year weighted moving average using $0\mathrm{.}1,0\mathrm{.}2,$ and $0\mathrm{.}3,$ with the highest weights to the most recent months.

iii$)$ Exponential smoothing with $\backslash$alpha $=0\mathrm{.}3$ and a forecast for year $5.$

c$)$ With the data provided, what method would allow you to prepare the sales forecast for year $8?$