Question

Brothers Willie and Billie each own a gas station for the same national chain. As brothers, they are very competitive. They held a contest to see who could do a better job forecasting sales for their station over the course of a year. Willie used a four-week moving average; Billie used a two-week moving average.

Willie's Petrol Park
Week	Sales (1000s of gallons)
1	17
2	21
3	19
4	23
5	18
6	16
7	20
8	18
9	22
10	20
11	15
12	22

Billie's Gasoline Grotto
Week	Sales (1000s of gallons)
1	85
2	84
3	76
4	69
5	54
6	80
7	100
8	54
9	88
10	80
11	60
12	66

a. Create the forecasts for each gas station.

b. Which error calculation would be the best to use in this contest? Why?

c. Who won the contest?

Answer 1

b) Calculating with three week moving average will be best beacuse it gives the value exactly with middle week compared to four week moving average as the value will be between 2nd and the 3rd week.

c)willies petrol park have won the contest at the difference in sales are quite less.