Betsy's Blue Bonnet Bakery a = 0.3 g = 0.5 b = 0.8 Actual Trend Slope Seasonal Forecast Error Quarter t Sales, Y t T t b t S t F t 2003 W 1 36,500 1988 S 2 43,750 36,500.00 7,250.00 1.20 1988 S 3...

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Betsy's Blue Bonnet Bakery

a

=


0.3

g

=

0.5

b

=


0.8
ActualTrendSlopeSeasonalForecastError
QuartertSales, Yt
Tt
bt
St
Ft
2003 W1
36,500
1988 S2
43,750

36,500.00

7,250.00
1.20
1988 S3
59,920

48,601.00

9,675.50
1.23
1988 F4
87,440

67,025.55

14,050.03
1.30
2004 W5
102,240

87,424.90

17,224.69
1.17
1988 S6
123,420

104,144.98

16,972.38
1.19
125,436.15

(2,016.15)
1988 S7
139,610

118,753.37

15,790.39
1.19
149,325.16

(9,715.16)
1988 F8
135,380

125,312.56

11,174.79
1.13
175,522.72

(40,142.72)
2005 W9
129,470

128,753.89

7,308.06
1.04
159,616.61

(30,146.61)
1988 S10
137,570

129,989.43

4,271.80
1.08
161,612.88

(24,042.88)
1988 S11
156,630

133,566.44

3,924.41
1.18
159,379.23

(2,749.23)
1988 F12
150,980

136,498.26

3,428.11
1.11
154,702.82

(3,722.82)
2006 W13
143,340

139,362.57

3,146.21
1.03
145,291.38

(1,951.38)
1988 S14
153,360

142,190.68

2,987.16
1.08
154,509.63

(1,149.63)
1988 S15
169,730

144,939.30

2,867.89
1.17
170,664.76

(934.76)
1988 F16
161,990

147,249.54

2,589.07
1.10
164,053.12

(2,063.12)
2007 W17
154,760

149,940.86

2,640.19
1.03
154,408.75
351.25
1988 S18
164,780

152,592.38

2,645.85
1.08
164,739.26
40.74
1988 S19
186,730

156,466.79

3,260.13
1.19
181,930.65

4,799.35
1988 F20
177,880

160,230.59

3,511.97
1.11
176,029.75

1,850.25
2008 W21
170,360

164,152.06

3,716.72
1.04
168,951.59

1,408.41
1988 S22
178,830

167,190.82

3,377.74
1.07
181,270.26

(2,440.26)
1988 S23
195,550

168,732.72

2,459.82
1.16
202,826.81

(7,276.81)
1988 F24
187,220

170,501.72

2,114.41
1.10
189,772.64

(2,552.64)
2009 W25
163,230

168,070.53

(158.39)
0.98
178,936.82

(15,706.82)
1988 S26
162,890

163,137.87

(2,545.53)
1.01
179,944.64

(17,054.64)
1988 S27
174,540

157,361.67

(4,160.86)
1.12
187,085.45

(12,545.45)
1988 F28
163,130

151,724.53

(4,899.00)
1.08
168,543.79

(5,413.79)
2010 W29
144,517.86
1988 S30
143,788.09
1988 S31
153,515.48
1988 F32
142,720.95
MSE =175,943,211


  1. Refer to the inventory output for Betsy’s Blue Bonnet Bakery. Here, Betsy is trying to determine the optimal order policy for birthday kits. What is the safety stock?



____________________


  1. Refer to #1. What is Betsy’s service level if she uses this policy?



____________________


  1. Refer to #1. If Betsy changes to a lost sales model, how would the policy be affected?





  1. Refer to the forecasting output for Betsy’s. This model is appropriate for the type of data.



  1. True

  2. False



Answered Same DayDec 23, 2021

Answer To: Betsy's Blue Bonnet Bakery a = 0.3 g = 0.5 b = 0.8 Actual Trend Slope Seasonal Forecast Error...

Robert answered on Dec 23 2021
125 Votes
Betsy's Blue Bonnet Bakery


= 0.3 = 0.5  = 0.8
Actual Trend Slope Seasonal Forecast Error
Quarter t
Sales,
Yt Tt bt St Ft

2003
W 1

36,500
1988 S 2

43,750

36,500.00 7,250.00 1.20
1988 S 3

59,920

48,601.00 9,675.50 1.23
1988 F 4

87,440

67,025.55 14,050.03 1.30
2004
W 5

102,240

87,424.90 17,224.69 1.17
1988 S 6

123,420

104,144.98 16,972.38 1.19

125,436.15

(2,016.15)
1988 S 7

139,610

118,753.37 15,790.39 1.19

149,325.16

(9,715.16)
1988 F 8

135,380

125,312.56 11,174.79 1.13

175,522.72

(40,142.72)
2005
W 9

129,470

128,753.89 7,308.06 1.04

159,616.61

(30,146.61)
1988 S 10

137,570

129,989.43 4,271.80 1.08

161,612.88

(24,042.88)
1988 S 11

156,630

133,566.44 3,924.41 1.18

159,379.23

(2,749.23)
1988 F 12

150,980

136,498.26 3,428.11 1.11

154,702.82

(3,722.82)
2006
W 13

143,340

139,362.57 3,146.21 1.03

145,291.38

(1,951.38)
1988 S 14

153,360

142,190.68 2,987.16 1.08

154,509.63

(1,149.63)
1988 S 15

169,730

144,939.30 2,867.89 1.17

170,664.76
...
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