Given the following data on the number of pints of ice cream sold at a local ice cream store for a 6-period time frame:
$$\begin{array} { c c }
\text { Period } & \text { Demand } \
\hline 1 & 200 \
2 & 245 \
3 & 190 \
4 & 270 \
5 & 280 \
6 & 300 \
\hline
\end{array}$$
-Use a 3-period moving average to forecast demand for period 7.
A) 283.33
B) 280
C) 290
D) 310

Question

Given the following data on the number of pints of ice cream sold at a local ice cream store for a 6-period time frame:
 $$\begin{array} { c c } 
\text { Period } & \text { Demand } \
\hline 1 & 200 \
2 & 245 \
3 & 190 \
4 & 270 \
5 & 280 \
6 & 300 \
\hline
\end{array}$$
-Use a 3-period moving average to forecast demand for period 7.
A) 283.33
B) 280
C) 290
D) 310

Quizplus · Accepted Answer

To calculate a 3-period moving average for period 7, you average the demands from periods 4, 5, and 6. This is (270 + 280 + 300) / 3 = 850 / 3 = 283.33.

Given the Following Data on the Number of Pints of Ice