Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

This is the same information for all six questions about this hypothetical situation Josh is a supply chain analyst for Wawa corporate headquarters. He is

This is the same information for all six questions about this hypothetical situation Josh is a supply chain analyst for Wawa corporate headquarters. He is responsible for supporting Wawa's coffee selling team, and provide forecasts for the demand for coffee cups, in the different sizes (12oz, Moz, 240z, etc.). Josh realizes that he needs to improve on the forecasting for coffee cup demand. He is thinking to start at the top level first, and develop an overall monthly number of cups, and not yet be concerned with the different sizes, because he can help the Wawa purchasing department negotiate discounts with the cup suppliers based purely on total cup volume. Josh has data for the past year, by month, of all coffee cup demands across all 1,067 Wawa stores across the USA. In total, the register transactions for the past year show that Wawa has sold just under 200 million cups of coffee in these 12 months Josh feels like this is a good representative number since post-COVID, the number has grown steadily proportionately with the number of new Wawa locations added. Josh's data shows that the number of coffee cup sales for the past 12 months, by month with oldest month first la summertime month) has been (expressed in millions): 15.13, 15.92, 16.01, 16.2. 17.4, 18.11, 18.2. 1782, 1714, 16.30, 15.24, 15.01. Josh will use the forecasting template file provided in Canvas to answer the following questions. (e) Based on the MAD and MSE values, which of these three forecasting methods is the best one for Josh to use? (remember that lower is better) Multiple Choice four-month moving average exponential smoothing exponential smoothing with trend no difference, they are all the same Josh is a supply chain analyst for Wawa corporate headquarters. He is responsible for supporting Wawa's coffee selling team, and provide forecasts for the demand for coffee cups, in the different sizes (12oz, 16oz, 24oz, etc.). Josh realizes that he needs to improve on the forecasting for coffee cup demand. He is thinking to start at the top level first, and develop an overall monthly number of cups, and not yet be concerned with the different sizes, because he can help the Wawa purchasing department negotiate discounts with the cup suppliers based purely on total cup volume. Josh has data for the past year, by month, of all coffee cup demands across all 1,067 Wawa stores across the USA. In total, the register transactions for the past year show that Wawa has sold just under 200 million cups of coffee in these 12 months. Josh feels like this is a good representative number since post-COVID, the number has grown steadily proportionately with the number of new Wawa locations added. Josh's data shows that the number of coffee cup sales for the past 12 months, by month with oldest month first (a summertime month) has been (expressed in millions): 15.13, 15.92, 16.01, 16.2, 17.4, 18.11, 18.2, 17.82, 17.14, 16.30, 15.24, 15.01. Josh will use the forecasting template file provided in Canvas to answer the following questions. (e) Based on the MAD and MSE values, which of these three forecasting methods is the best one for Josh to use? (remember that lower is better) Multiple Choice four-month moving average exponential smoothing exponential smoothing with trend no difference, they are all the same

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

Introduction To Financial Reporting With Powerpivot

Authors: Florent Cailly, Thomas Brajcich

1st Edition

1517437563, 978-1517437565

More Books

Students also viewed these Accounting questions