Solved problems 4.1 and 4.

4.1)

3- week Moving Average:

August+ September 7 + September 14= (360+389+420)/3= 389.67

September 14+ September 21+ September 28= (410+381+368)/3= 386.33

a) September 21+ September 28+ October 5= (381+368+ 374)/3= 374.33

Forecasted demand for week of October 12 is equal to 374.33/3.

b) (0.1*381+0.3*368+ 0.6*374)/1= (38.1+110.4+ 224.4)/1= 372.9

Forecasted demand for week of October 12 is equal to 372.9 according to 3-week weighted moving
average.

c)

Forecasted value

August 31 360
September 7 Ft= 360+0.2(360-360) = 360
September 14 Ft = 360 + 0.2(389-360) = 365.8
September 21 Ft= 365.8+ 0.2(410-365.8) = 374.64
September 28 Ft= 374.64+ 0.2(381-374.64) = 375.912
October 5 Ft = 375.912+ 0.2( 368-375.912)= 374.329
October 12 Ft= 374.329+ 0.2( 374-374.329)= 374.2632

4.6) b)

i) 23

ii) 3 –week moving average of October+ November+ December= (20+21+23)/3= 21.33

iii) 6-months weighted moving average= (0.1*17+0.1*18+ 0.1*20+ 0.2*20+0.2*21+0.3*23)/1=

(1.7+1.8+2+4+4.2+6.9)/1= 20.6
4.7)a) (0.167*70+ 0.25*48+ 0.25*63+ 0.333*52)/1= 56.756/1= 56.756

b) (10*70+ 15*48+ 15*63+20*52)/60= 56.75

c) (0.1* 70+ 0.20* 48+ 0.30*63+ 0.40*52)/1= 56.3

4.30)

a) forecast demand of aztech air conditioners= 36+4.3(70)=36+301= 337

b) forecast demand for aztec airconditioners = 36+ 4.3(80)= 36+344= 380

c) forecast demand of aztech airconditioners = 36 + 4.3(90)= 36+387= 423

4.34)

a) Y= 7.5 + 3.5(2000)+ 4.5(30000)+ 2.5(0)= 142,007.5

b) Y= 7.5 + 3.5(3000)+ 4.5(50000) + 2.5(1)= 235,510

c) Y= 7.5 + 3.5(4000) + 4.5(70000) +2.5(2) = 329,012.5