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United Dairies, Inc. supplies milk to several independent grocers throughout Dade County, Florida. Managers at United Dairies want to develop a forecast of the number

United Dairies, Inc. supplies milk to several independent grocers throughout Dade County, Florida. Managers at United Dairies want to develop a forecast of the number of half gallons of milk sold per week. Sales data for the past 24 weeks are as follows.

Week Sales Week Sales
1 2,790 13 3,120
2 3,130 14 3,530
3 3,260 15 3,660
4 2,820 16 3,240
5 2,890 17 3,340
6 3,100 18 3,440
7 3,260 19 3,670
8 3,110 20 3,480
9 2,920 21 3,310
10 3,010 22 3,360
11 3,180 23 3,640
12 3,190 24 3,540

The data has been collected in the Microsoft Excel file below. Download the spreadsheet and perform the required analysis to answer the questions below.

Download spreadsheet uniteddairies-4055eb.xlsx

a. Choose the correct time series plot.

The correct time series plot is

graph A

A

Sales Volume

Week

Sales Time Series Plot

The time series plot represents a trend in weekly sales of half gallons of milk from weeks 1 through 24. The chart has a horizontal axis labeled Week with values from 0 to 25 and a vertical axis labeled Sales Volume with values from 0 to 4000. The chart shows a line plot connecting each of 24 weeks sales data points. The line starts at week 1 with sales of 2790, goes up and right to week 2 with sales of 3130, goes up and right to week 3 with sales of 3260, goes down and right to week 4 with sales of 2820, goes up and right to week 5 with sales of 2890, goes up and right to week 6 with sales of 3100, goes up and right to week 7 with sales of 3260, goes down and right to week 8 with sales of 3110, goes down and right to week 9 with sales of 2920, goes up and right to week 10 with sales of 3010, goes up and right to week 11 with sales of 3180, goes up and right to week 12 with sales of 3190, goes down and right to week 13 with sales of 3120, goes up and right to week 14 with sales of 3530, goes up and right to week 15 with sales of 3660, goes down and right to week 16 with sales of 3240, goes up and right to week 17 with sales of 3340, goes up and right to week 18 with sales of 3440, goes up and right to week 19 with sales of 3670, goes down and right to week 20 with sales of 3480, goes down and right to week 21 with sales of 3310, goes up and right to week 22 with sales of 3360, goes up and right to week 23 with sales of 3640, and ends at week 24 with sales of 3540.

B

Sales Volume

Week

Sales Time Series Plot

The time series plot represents a trend in weekly sales of half gallons of milk from weeks 1 through 24. The chart has a horizontal axis labeled Week with values from 0 to 25 and a vertical axis labeled Sales Volume with values from 0 to 4000. The chart shows a line plot connecting each of 24 weeks sales data points. The line starts at week 1 with sales of 2790, goes up and right to week 2 with sales of 2946, goes up and right to week 3 with sales of 3091, goes down and right to week 4 with sales of 2966, goes down and right to week 5 with sales of 2931, goes up and right to week 6 with sales of 3009, goes up and right to week 7 with sales of 3124, goes down and right to week 8 with sales of 3118, goes down and right to week 9 with sales of 3027, goes down and right to week 10 with sales of 3019, goes up and right to week 11 with sales of 3093, goes up and right to week 12 with sales of 3138, goes down and right to week 13 with sales of 3130, goes up and right to week 14 with sales of 3314, goes up and right to week 15 with sales of 3473, goes down and right to week 16 with sales of 3366, goes down and right to week 17 with sales of 3354, goes up and right to week 18 with sales of 3394, goes up and right to week 19 with sales of 3521, goes down and right to week 20 with sales of 3502, goes down and right to week 21 with sales of 3414, goes down and right to week 22 with sales of 3389, goes up and right to week 23 with sales of 3504, and ends at week 24 with sales of 3521.

C

Sales Volume

Week

Sales Time Series Plot

The time series plot represents a trend in weekly sales of half gallons of milk from weeks 1 through 24. The chart has a horizontal axis labeled Week with values from 0 to 25 and a vertical axis labeled Sales Volume with values from 0 to 4000. The chart shows a line plot connecting each of 24 weeks sales data points. The line starts at week 1 with sales of 3521, goes down and right to week 2 with sales of 3504, goes down and right to week 3 with sales of 3389, goes up and right to week 4 with sales of 3414, goes up and right to week 5 with sales of 3502, goes up and right to week 6 with sales of 3521, goes down and right to week 7 with sales of 3394, goes down and right to week 8 with sales of 3354, goes up and right to week 9 with sales of 3366, goes up and right to week 10 with sales of 3473, goes down and right to week 11 with sales of 3314, goes down and right to week 12 with sales of 3130, goes up and right to week 13 with sales of 3138, goes down and right to week 14 with sales of 3093, goes down and right to week 15 with sales of 3019, goes up and right to week 16 with sales of 3027, goes up and right to week 17 with sales of 3118, goes up and right to week 18 with sales of 3124, goes down and right to week 19 with sales of 3009, goes down and right to week 20 with sales of 2931, goes up and right to week 21 with sales of 2966, goes up and right to week 22 with sales of 3091, goes down and right to week 23 with sales of 2946, and ends at week 24 with sales of 2790.

D

Sales Volume

Week

Sales Time Series Plot

The time series plot represents a trend in weekly sales of half gallons of milk from weeks 1 through 24. The chart has a horizontal axis labeled Week with values from 0 to 25 and a vertical axis labeled Sales Volume with values from 0 to 4000. The chart shows a line plot connecting each of 24 weeks sales data points. The line starts at week 1 with sales of 3540, goes up and right to week 2 with sales of 3640, goes down and right to week 3 with sales of 3360, goes down and right to week 4 with sales of 3310, goes up and right to week 5 with sales of 3480, goes up and right to week 6 with sales of 3670, goes down and right to week 7 with sales of 3440, goes down and right to week 8 with sales of 3340, goes down and right to week 9 with sales of 3240, goes up and right to week 10 with sales of 3660, goes down and right to week 11 with sales of 3530, goes down and right to week 12 with sales of 3120, goes up and right to week 13 with sales of 3190, goes down and right to week 14 with sales of 3180, goes down and right to week 15 with sales of 3010, goes down and right to week 16 with sales of 2920, goes up and right to week 17 with sales of 3110, goes up and right to week 18 with sales of 3260, goes down and right to week 19 with sales of 3100, goes down and right to week 20 with sales of 2890, goes down and right to week 21 with sales of 2820, goes up and right to week 22 with sales of 3260, goes down and right to week 23 with sales of 3130, and ends at week 24 with sales of 2790.

The time series plot indicates an increasing pattern.
b. Use exponential smoothing with = 0.46 to develop a forecast of demand for week 25. Round your answer to the nearest whole number.
What is the resulting MSE? Round your answer to the nearest whole number.

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