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Zeus Computer Chips, Incorporated, used to have major contracts to produce the Centrino-type chips. The market has been declining during the past three years
Zeus Computer Chips, Incorporated, used to have major contracts to produce the Centrino-type chips. The market has been declining during the past three years because of the quad-core chips, which it cannot produce, so Zeus has the unpleasant task of forecasting next year. The task is unpleasant because the firm has not been able to find replacement chips for its product lines. Here is demand over the past 12 quarters: QUARTER LAST QUARTER THIS QUARTER TWO YEARS AGO DEMAND YEAR DEMAND YEAR DEMAND 1 4,792 1 3,420 1 3,195 2 3,495 2 2,686 2 2,110 3 4,290 3 3,495 3 2,690 4 2,900 4 2,395 4 1,690 Use the regression and seasonal indexes to forecast demand for the next four quarters. Note: Round your intermediate calculations and answers to 2 decimal places. Period Forecast (Units) 1 2 3 4
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