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Question 4: The Marino Company in Ventura County, southern California sells swimming pool equipment. The sales for swimming pool motors in southern California over the
Question 4:
- The Marino Company in Ventura County, southern California sells swimming pool equipment. The sales for swimming pool motors in southern California over the last 12 months is given in Table Q4(a). Forecast the demand from March to December of the current year using the following forecasting models. Use excel for the tabulation.
- Three-month simple moving average;
- Three-month weighted moving average. Use 0.7, 0.2, and 0.1 for the weights, with
0.7 for the most recent period, and 0.1 for the oldest period.
- Simple linear regression;
- Determine the MAD, and SE for all the models, and choose which model is most appropriate.
Table Q4(a) Marino Company Sales of Swimming pool motors
Month | Quantity (units) |
January | 11,959 |
February | 14,664 |
March | 16,434 |
April | 10,070 |
May | 15,652 |
June | 17,465 |
July | 11,844 |
August | 14,963 |
September | 17,744 |
October | 12,080 |
November | 14,063 |
December | 16,445 |
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