Question

The following are monthly actual and forecast demand levels for May through December for units of a product manufactured by the D. Bishop Company in Des​ Moines: Month Actual Demand Forecast Demand May 105 102 June 78 104 July 108 101 August 112 104 September 108 104 October 110 104 November 125 105 December 125 109
What is the value of the tracking signal as of the end of december?

Answer 1

Answer:

The value of the tracking signal as of the end of December is 8.

Explanation:

month actual  forecast  forecast RSFE absolute MAD Tracking signal

           sales  sales           error                error    

May      105  102              3            3      3              3                  1

june       78 104           -26 -23      -26     -11.5           2

july       108  101             7    -16         7     -5.33333            3

august 112 104              8   -8      8       -2             4

sep    108 104       4    -4      4       -0.8             5

oct         110 104             6    2         6       -0.6667      -3

nov    125 105           20   22    20    3.142857143     7

dec    125 109            16          38    16      4.75          8