Twenty five vendors are selling at an event, and an attendance of 80,000 is projected. It is anticipated that 70% of attendees will make purchases. Assuming that each vendor has an equal chance of having an attendee purchase their products, what is the average number of customers each will serve?

2,240

Explanation:

The total number of projected attendance is 80,000. If 705 will make purchases. It means 70% of 80,000 will buy.

=70/100 x 80,000

=0.7 x 80,000

=56,000 attendants will buy

If they are 25 vendors, each vendor will sell to

=56,000/25

=2,240

on average, each vendor will sell to 2,240 customers

a manufacturer of printed circuit boards uses exponential smoothing with trend to forecast monthly demand of its product. at the end of december, the company wishes to forecast sales for january. the estimate of trend through november has been 200 additional boards sold per month. average sales have been around 1000 units per month. the demand for december was 1100 units. the company uses α = 0.20 and β = 0.10. make a forecast including trend for the month of january.