Daily demand for newspapers for the last 10 days has been as follows: 12, 13, 16, 15, 12, 18, 14, 12, 13, 15 (listed from oldest to most recent). Forecast sales for the next day using a two-day moving average.

A) 13

B) 15

C) 28

D) 12.5

E) 14

Question

Business

Cloe Warren

24 February, 12:34

Daily demand for newspapers for the last 10 days has been as follows: 12, 13, 16, 15, 12, 18, 14, 12, 13, 15 (listed from oldest to most recent). Forecast sales for the next day using a two-day moving average.

A) 13

B) 15

C) 28

D) 12.5

E) 14

+1

Answers (1)

Know the Answer?

Riya Harrison · Answer 1

The correct option is E, 14

Explanation:

In using the two-day moving average to forecast for the next day sales, the previous two days sales are taken, summed to up and finally averaged (that is divided by 2)

Next day forecast=sum of previous two days sales figures/number of days

sum of previous two days forecast=13+15=28

since the number of the days is 2, the 8 is divided by 2,28/2=14

Ultimately the next day forecast sales figure is 14 newspapers

Option A is wrong that is just considering of the two previous day, the same thing applies to option B.

Option C is the sum of previous two days sales without being divided

Daily demand for newspapers for the last 10 days has been as follows: 12, 13, 16, 15, 12, 18, 14, 12, 13, 15 (listed from oldest to most recent). Forecast sales for the next day using a two-day moving average.A) 13B) 15C) 28D) 12.5E) 14

Daily demand for newspapers for the last 10 days has been as follows: 12, 13, 16, 15, 12, 18, 14, 12, 13, 15 (listed from oldest to most recent). Forecast sales for the next day using a two-day moving average.

A) 13

B) 15

C) 28

D) 12.5

E) 14