Question

Use the bicycle rent data set provided below to calculate a 3-day weighted moving average (WMA) to predict the number of bicycles that will be rented on the next Monday. Use the weights of 0.5, 0.4, and 0.1 for the 3-day WMA, where the first weight is used for the most recent day and the last weight is used for the least recent day. Round your answer to two decimal places, if necessary.

Answer 1

To predict bicycle rentals using a 3-day weighted moving average, apply weights of 0.5, 0.4, and 0.1 to the rental data from the most recent three days and sum the results. Round the final calculated WMA to two decimal places to get the predicted number of rentals.

Step-by-step explanation:

To calculate a 3-day weighted moving average (WMA) for predicting bicycle rentals, we take the bicycle rent data from the most recent three days and apply the weights of 0.5, 0.4, and 0.1. The most recent day gets the highest weight, and the oldest of the three days gets the lowest. Unfortunately, the provided data set is not available in the question, so a specific calculation cannot be completed. However, if you have the rental numbers, the calculation would look like this:

• WMA = (Rent Day 1 × 0.5) + (Rent Day 2 × 0.4) + (Rent Day 3 × 0.1)

After calculating the WMA, the result is rounded to two decimal places. This will give you the predicted number of bicycles that will be rented on the next Monday based on the WMA using the specified weights.