What is the approximate forecast for July using a 4-month moving average?
$$\begin{array} { c c c c c c }
\text { Jan. } & \text { Feb. } & \text { Mar. } & \text { April } & \text { May } & \text { June } \
49 & 46 & 50 & 52 & 58 & 56
\end{array}$$
A) 54
B) 48
C) 57
D) 52

Question

What is the approximate forecast for July using a 4-month moving average?
$$\begin{array} { c c c c c c } 
\text { Jan. } & \text { Feb. } & \text { Mar. } & \text { April } & \text { May } & \text { June } \
49 & 46 & 50 & 52 & 58 & 56
\end{array}$$
A) 54
B) 48
C) 57
D) 52

Quizplus · Accepted Answer

To forecast July using a 4-month moving average, we take the average of the four months leading up to July: April, May, June, and the forecasted month itself is not included as it's what we're trying to find. So, we calculate the average of April (52), May (58), and June (56) sales, along with March (50) since it's the fourth month back from June. The sum is $52 + 58 + 56 + 50 = 216$, and the average is $216 / 4 = 54$.

What Is the Approximate Forecast for July Using a 4-Month