Exam 2 Review Practice Questions 1) A craftsman builds two kinds of birdhouses, one for wrens and a second for bluebirds. Each wren birdhouse takes 4 hours of labor and 4 units of lumber. Each bluebird house requires 2 hours of labor and 12 units of lumber. There are 60 hours of labor and 120 units of lumber available. Wren houses yield a profit of $6 each and bluebird houses yield a profit of $15 each. What is the optimal combination of wren and bluebird houses? 2) A company markets bags of manure labeled "not less than 60 lb. dry weight." The packaged manure is a combination of compost and sewage waste. To provide good-quality fertilizer, each bag should contain at least 30 lb. of compost but no more than 40 lb. of sewage. Each pound of compost costs 5 cents and each pound of sewage costs 4 cents. Find the least cost of compost and sewage in each bag. 3) Year Actual Demand 1 2 200 212 3 4 5 6 7 215 222 236 221 240 Given the data, find the forecasts for year 5 onwards using the nave method, 3-year moving average method, and 3-year weighted moving average method with a weight of 0.6 for the most recent year, 0.3 for the year before that, and 0.1 for the least recent year. 4) Daily temperatures have been as follows: 88, 92, 89, 87, 89, 91, 90 Calculate the MAD and MAPD for the 2-day moving average. 5) The actual demand of a firm for several years is as follows: Year Actual Demand 1 2 3 4 5 6 (current year) 33 38 50 56 58 ? The forecast for Year 1 was 41. Use exponential smoothing, with a smoothing constant of 0.9 to develop forecasts for years 2 through 6. Round all numbers to 1 decimal place. 6) The data below shows the payroll versus the corresponding sales. Find the linear regression equation associating payroll with sales. Payroll (million $) 1 3 4 2 1 7 Sales (hundred thousand) 2 3 2.5 2 2 3.5 7) Week 1 Week 2 Week 3 Monday 10 9 11 Tuesday 12 15 13 Wednesday 14 11 15 Thursday 12 10 9 Friday 5 6 3 Saturday 6 3 6 Sunday 5 3 5 What is the seasonal index for Monday correct to 3 decimal places?