Question

In the past, Peter Kelle’s tire dealership in Baton Rouge sold an average of 1,000 radials each year. In the past 2 years, 200 and 250, respectively, were sold in fall, 350 and 300 in winter, 150 and 165 in spring, and 300 and 285 in summer. With a major expansion planned, Kelle projects sales next year to increase to 1,200 radials. What will be the demand during each season?

Answer 1

With the planned expansion for Kelle projects to achieve sales next year to increase to 1,200 radials, the demand during each season will be

Fall 250, Winter 400, Spring 200, Summer 350.

OR

Fall 300, Winter 350, Spring 215, Summer 335

This is explained below:

Step-by-step explanation:

Year1 Year2

Fall 200 250

Winter 350 300

Spring 150 165

Summer 300 285

The above table gives the sales and demand in each season in 2 years. Each year, the total sales is 1000

To increase the sales by 200 in the following year, we will divide 200 increment over the four seasons.

Since there is no specific pattern of changes in sales across the season, we add 50 to the sales or demands of each season of any of the previous years.

We then have

Fall 250, Winter 400, Spring 200, Summer 350

OR

Fall 300, Winter 350, Spring 215, Summer 335

Answer 2

300 radials

Step-by-step explanation:

Divide projected sales by total number of seasons

That is,

Projected sales=1200

Seasons =4

Therefore,

1200 / 4 = 300

radials planned to be sold each season next year equals 300