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Favors Distribution Company Purchases Small Imported Trinkets in Bulk, Packages

question 23

Essay

Favors Distribution Company purchases small imported trinkets in bulk, packages them, and sells them to retail stores. They are conducting an inventory control study of all their items. The following data are for one such item, which is not seasonal.
a. Use trend projection to estimate the relationship between time and sales (state the equation).
b. Calculate forecasts for the first four months of the next year.
123456789101112 Month  Jan  Feb  Mar  Apr  May  Jun  Jul  Aug  Sep  Oct  Nov  Dec  Sales 515554575068665967697573\begin{array} { | c | c | c | c | c | c | c | c | c | c | c | c | c | } \hline & 1 & 2 & 3 & 4 & 5 & 6 & 7 & 8 & 9 & 10 & 11 & 12 \\\hline \text { Month } & \text { Jan } & \text { Feb } & \text { Mar } & \text { Apr } & \text { May } & \text { Jun } & \text { Jul } & \text { Aug } & \text { Sep } & \text { Oct } & \text { Nov } & \text { Dec } \\\hline \text { Sales } & 51 & 55 & 54 & 57 & 50 & 68 & 66 & 59 & 67 & 69 & 75 & 73 \\\hline\end{array}

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