Final answer:
To calculate the July forecast using a weighted moving average, multiply the past demands by the assigned weights and add them up. The forecast is 16.2, after rounding to one decimal place.
Step-by-step explanation:
The question involves calculating the July forecast for a product using a weighted moving average. To find the weighted moving average, we need to multiply the demand for each month by its respective weight and then sum these values.
Demand for April is 14, May is 17, and June is 16. The weights given are 0.50 for June, 0.40 for May, and 0.10 for April. Using these weights, the calculation for the July forecast is as follows:
April's weighted demand: 14 (Demand) * 0.10 (Weight) = 1.4
May's weighted demand: 17 (Demand) * 0.40 (Weight) = 6.8
June's weighted demand: 16 (Demand) * 0.50 (Weight) = 8.0
Summing these weighted demands:
1.4 (April) + 6.8 (May) + 8.0 (June) = 16.2
The July forecast using the weighted moving average is 16.2 (rounded to 1 decimal place).