Table 11.4. -Use the information in Table 11.4. The forecasting equation for a three- month weighted moving average is: A_t= W₁D_t+ W₂D_t- 1 + W₃D_t- 2 If the sales for June were 40 units and the weights are W₁= 1/2, W₂= 1/3, and W₃= 1/6, what is the forecast for July? A) less than or equal to 30 units B) greater than 30 but less than or equal to 33 units C) greater than 33 but less than or equal to 36 units D) greater than 36 units

Question

Quizplus · Accepted Answer

The forecast for July is 33 units. (1/2 x 40) + (1/3 x 40) + (1/6 x 40) = 20 + 13.33 + 6.67 = 33 units.

Table 11.4. -Use the Information in Table 11.4. the Forecasting Equation for the Forecasting