Forrest and Dan make boxes of chocolates for which the demand is uncertain
Forrest and Dan make boxes of chocolates for which the demand is uncertain. Forrest says, “That”s life.” On the other hand. Dan believes that some demand patterns exist that could be useful for planning the purchase of sugar, chocolate, and shrimp. Forrest insists on placing a surprise chocolate-covered shrimp in some boxes so that “You never know what you”ll get: Quarterly demand (in boxes of chocolates) for the last three years follows:QuarterYear 1Year 2Year 3130003,3003,50221.7002,1002,44839001,5001.76844,4005,1005,882Total1000012,00013.600a. Use intuition and judgment to estimate quarterly demand for the fourth year.b. If the expected sales for chocolates are 14,800 cases for year 4, use the multiplicative seasonal method to prepare a forecast for each quarter of the year. Are any of the quarterly forecasts different from what you thought you would get in part (a)?
