Your company produces and distributes home tool sets to Lowe's, Home Depot, Ace Hardware, and over 500 privately owned hardware stores across the United States. The unit sales levels and forecasts for the last two previous years (by month) are detailed in the table below. You have been asked to calculate the Forecast error and Forecast Percentage error for the entire line of Tool belts for each year, and for each two-year period. Start your analysis by completing the table below, then use the spaces below (in light green) to calculate the error and percent error for each question asked. These equations and an example are covered in your textbook on pages 107 - 111. Finally, in the last space, provide a written summary of your findings regarding the sales trends and the forecasting efficacy by year, by product, and overall.

a.

Complete the following Table

Year

Period

Actual Unit Sales (X10)

Forecasted Unit Sales (X10)

Forecast Error A_t-F_t (X10)

Percentage Error

1

1

650

554

0.0%

10 points total

2

985

768

0.0%

5 points - correctly completed Table

3

596

996

0.0%

5 points - part e Analysis

4

593

802

0.0%

5

326

648

0.0%

6

523

952

0.0%

7

847

897

0.0%

8

891

868

0.0%

9

480

898

0.0%

10

470

547

0.0%

11

733

502

0.0%

12

573

627

0.0%

Year 1

Sum

Year 1

Avg/mo

2

1

729

649

0.0%

2

908

566

0.0%

3

699

821

0.0%

4

854

877

0.0%

5

829

924

0.0%

6

580

543

0.0%

7

543

889

0.0%

8

636

652

0.0%

9

716

732

0.0%

10

997

511

0.0%

11

480

752

0.0%

12

478

839

0.0%

Year 2

Sum

Year 2

Avg/mo

Year 1 & 2

Sum

Mean Error for 2 year Period

b.

What Conclusions can you draw regarding the forecasting accuracy?