Calculating forecast of demand using period moving average


Deliverable Length: 3-4 pages

Problem: The ABC Floral Shop sold the following number of geraniums during the last 2 weeks:

Day Demand Day Demand

1 200 8 150

2 134 9 182

3 157 10 197

4 165 11 136

5 77 12 163

6 125 13 157

7 146 14 169

Develop a spreadsheet to answer the following questions.

- Calculate a forecast of the above demand using a 3- and 5-period moving average.

- Graph these forecasts and the original data using Excel. What does the graph show?

- Which of the above forecasts is best? Why?

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Microeconomics: Calculating forecast of demand using period moving average
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