14. MacRonald's Restaurant uses a monthly exponential smoothing forecast for demand of each

of its products. MacRonald's has four product families: burgers, chicken, hoagies, and pizza.

MacRonald's also asks the shift managers to come up with a forecast for each product family. The

exponential forecast for each product and the family forecast are given below.

Family

Burgers

Chicken

Hoagies

Pizza

Family

Burgers

Chicken

Hoagies

Pizza

Product

Regular

Super

Super-Duper

Regular

Cajun

Italian

French

American

Cheese

Pepperoni

Forecast

1,200

2,700

2,100

1,800

2,700

2,250

1,650

1,350

750

1,200

S/Unit

1.00

1.50

1.80

2.50

2.75

3.50

3.00

3.25

1.75

2.25

S Sales

10,000.00

15,000.00

20,000.00

5,000.00

a. Calculate a roll-up of the individual forecasts and compare it to the product family forecast.

b. Roll up the individual product forecast to the top level and compare it to an overall corporate

forecast of $65,000. Roll the forecast back down to families and individual forecast (dollars

and units).