Problem
An Electronic Company estimates the annual demand for a certain product as follows:
Week 1 2 3 4 5 6
Demand 649 524 561 738 515 598
• Forecast the demand for week 7 using a five-period moving average?
• Forecast the demand for week 7 using a three-period weighted moving average. Use the following weights: W1 = .4, W2 = .4, W3 = .2
• Forecast the demand for week 7 using exponential smoothing. Use α value of .1 and assume the forecast for week 6 was 602 units?
• What assumptions are made in each of the above forecasts?
The response should include a reference list. Double-space, using Times New Roman 12 pnt font, one-inch margins, and APA style of writing and citations.