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denpristay [2]
3 years ago
14

​John's House of Pancakes uses a weighted moving average method to forecast pancake sales. It assigns a weight of 5 to the previ

ous​ month's demand, 3 to demand two months​ ago, and 1 to demand three months ago. If sales amounted to​ 3,000 pancakes in​ May, 2,200 pancakes in​ June, and​ 1,000 pancakes in​ July, what should be the forecast for​ August? A. ​3,767 B. ​1,622 C. ​2,067 D. ​2,400 E. ​2,511
Mathematics
1 answer:
NikAS [45]3 years ago
7 0

Answer:

B. ​1,622

Step-by-step explanation:

The weighed average is each value multiplied by it's weight divided by the sum of the weights.

In this problem we have that:

Weight of 5 to the previous month demand. The number of pancakes in July was 1000.

Weight of 3 to the demand of two months ago. The number of pancakes in June was 2200.

Weight of 1 to the demand of three months ago. The number of pancakes in May was 3000.

So, the forecast for August is:

M = \frac{5*1000 + 3*2200 + 1*3000}{9} = 1622.2

The forecast for August is a demand of 1622 pancakes. Letter B.

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