The manager of a travel agency has been using a seasonally adjusted forecast to predict demand for packaged tours. The actual and predicted values are as follows:
     
Period  DemandPredicted
1138        111        
2194        200        
3157        150        
491        94        
595        80        
6132        144        
7126        128        
8127        124        
995        96        
10149        150        
11104        94        
1285        75        
13120        140        
14134        128        
________________________________________
     
a.Compute MAD for the fifth period, then update it period by period using exponential smoothing with α = .1.(Round your intermediate calculations and final answers to 3 decimal places.)
      
t
PeriodA
Demand    MADt
1138        
2194        
3157        
491        
595         
 
6132         
 
7126         
 
8127         
 
995         
 
10149         
 
11104         
 
1285         
 
13120         
 
14134         
 
________________________________________
      
b.Compute a tracking signal for periods 5 through 14 using the initial and updated MADs. (Negative values should be indicated by a minus sign. Round your intermediate calculations and final answers to 3 decimal places.)
      
t
PeriodA
DemandTracking
Signal
1138        
2194        
3157        
491        
595         
 
6132         
 
7126         
 
8127         
 
995         
 
10149         
 
11104         
 
1285         
 
13120         
 
14134         
 
________________________________________
 
Checkout time at a supermarket is monitored using a mean and a range chart. Six samples of n = 20 observations have been obtained and the sample means and ranges computed:
 
SampleMeanRangeSampleMeanRange
13.06.4243.13.46
23.15.4453.06.46
33.11.4163.09.45
________________________________________
Q 2,
Factors for three-sigma control limits for  and R charts
 
FACTORS FOR R CHARTS
Number of Observations in Subgroup,
nFactor for
 Chart,
A2Lower
Control Limit,
D3Upper
Control Limit,
D4
2           1.88         03.27
3           1.02         02.57
4           0.73         02.28
5           0.58         02.11
6           0.48         02.00
7           0.42         0.081.92
8           0.37         0.141.86
9           0.34         0.181.82
10           0.31         0.221.78
11           0.29         0.261.74
12           0.27         0.281.72
13           0.25         0.311.69
14           0.24         0.331.67
15           0.22         0.351.65
16           0.21         0.361.64
17           0.20         0.381.62
18           0.19         0.391.61
19           0.19         0.401.60
20           0.18         0.411.59
________________________________________
 
a.Using the factors in the above table, determine upper and lower limits for mean and range charts.(Round your intermediate calculations and final answers to 4 decimal places.)
 
  Upper limit for mean   
  Lower limit for mean   
  Upper limit for range   
  Lower limit for range   
_______________________________________
b.Is the process in control?
  
Yes
 No

 

"Are you looking for this answer? We can Help click Order Now"