A company wants to forecast demand using the weighted moving average.If the company uses three prior yearly sales values , and we want to weight year 2011 at 30 percent, year 2012 at 30 percent, and year 2013 at 40 percent, which of the following is the weighted moving average forecast for year 2014?
A)170
B)168
C)158
D)152
E)146

Question

Quizplus · Accepted Answer

Forecast for 2014 = (160 x 0.3) + (140 x 0.3) + (170 x 0.4) = 158.

A Company Wants to Forecast Demand Using the Weighted Moving