Business, 04.05.2021 01:00 TheViperMlg23676

The Marcus Motel uses the moving average approach to forecast its rooms sales for each week and linear regression for forecasting its food sales. The moving average approach utilizes the most recent five weeks of actual data. An adjustment is made for extremes as follows: If during the five weeks the actual rooms sold for a week differ by more than 30 percent from the budgeted room sales for that week, the actual is considered to be an extreme. In such case, the extreme is ignored and the budgeted number of rooms sold is used in its place.

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