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Estimate the trend component of monthly demand

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Reference no: EM131337008

A manager of a store that sells and installs spas wants to prepare a forecast for January, February, and March of next year. Her forecasts are a combination of trend and seasonality. She uses the following equation to estimate the trend component of monthly demand: Ft = 50 + 5t, where t = 0 in June of last year. Seasonal relatives are .95 for January, 1.01 for February, and 1.03 for March. What demands should she predict? (Round your answers to 2 decimal places.)

Month

  Forecast

January of the next year

 

February of the next year

 

March of the next year

Reference no: EM131337008

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