Answer Happy

The Carbondale Hospital is considering the purchase of a new ambulance. The decision will rest partly on the anticipated mileage to be driven next year. The miles driven during the past 5 years are as follows: 2 3 4 5 4,050 3,450 3,750 3,750 miles (round your response to the nearest whole number). Year Mileage a) Using a 2-year moving average, the forecast for year 6 = b) If a 2-year moving average is used to make the forecast, the MAD based on this = years of matched data.) c) The forecast for year 6 using a weighted 2-year moving average with weights of 0.40 and 0.60 (the weight of 0.60 is for the most recent period) = miles (round 1 3,000 miles (round your response to one decimal place). (Hint: You will have only 3
b) If a 2-year moving average is used to make the forecast, the MAD based on this = miles (round your response to one decimal place). (Hint: You will have only 3 years of matched data.) c) The forecast for year 6 using a weighted 2-year moving average with weights of 0.40 and 0.60 (the weight of 0.60 is for the most recent period) = miles (round your response to the nearest whole number). The MAD for the forecast developed using a weighted 2-year moving average with weights of 0.40 and 0.60 = (Hint: You will have only 3 years of matched data.) miles (round your response to one decimal place). d) Using exponential smoothing with a = 0.40 and the forecast for year 1 being 3,000, the forecast for year 6 = miles (round your response to the nearest whole number).