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2. Weighted Moving Average example ( Enter your problem )
  1. Formula & 3 year Weighted Moving Average Example
  2. 4 year Weighted Moving Average Example
  3. 5 year Weighted Moving Average Example

1. Formula & 3 year Weighted Moving Average Example





Formula
Examples
1) 3 year Weighted Moving Average
year123456789101112
Sales5.24.95.54.95.25.75.45.85.965.24.8
Calculate 3 year Weighted Moving Average with weight=1,2,1


Solution:
The value of table for `x` and `y`

x123456789101112
y5.24.95.54.95.25.75.45.85.965.24.8

The weights of the 3 years are respectively 1,2,1 and their sum is 4
Calculation of 3 year moving averages of the data
(1)
year
(2)
Sales
(3)
3 year weighted moving total
(4)
3 year weighted moving average
`(3)-:4`
15.2
24.9`1xx5.2+2xx4.9+1xx5.5=20.5``20.5-:4=5.125`
35.5`1xx4.9+2xx5.5+1xx4.9=20.8``20.8-:4=5.2`
44.9`1xx5.5+2xx4.9+1xx5.2=20.5``20.5-:4=5.125`
55.2`1xx4.9+2xx5.2+1xx5.7=21``21-:4=5.25`
65.7`1xx5.2+2xx5.7+1xx5.4=22``22-:4=5.5`
75.4`1xx5.7+2xx5.4+1xx5.8=22.3``22.3-:4=5.575`
85.8`1xx5.4+2xx5.8+1xx5.9=22.9``22.9-:4=5.725`
95.9`1xx5.8+2xx5.9+1xx6=23.6``23.6-:4=5.9`
106`1xx5.9+2xx6+1xx5.2=23.1``23.1-:4=5.775`
115.2`1xx6+2xx5.2+1xx4.8=21.2``21.2-:4=5.3`
124.8



2) 3 year Weighted Moving Average
year12345678910
Sales30253525203035403045
Calculate 3 year Weighted Moving Average with weight=1,2,1


Solution:
The value of table for `x` and `y`

x12345678910
y30253525203035403045

The weights of the 3 years are respectively 1,2,1 and their sum is 4
Calculation of 3 year moving averages of the data
(1)
year
(2)
Sales
(3)
3 year weighted moving total
(4)
3 year weighted moving average
`(3)-:4`
130
225`1xx30+2xx25+1xx35=115``115-:4=28.75`
335`1xx25+2xx35+1xx25=120``120-:4=30`
425`1xx35+2xx25+1xx20=105``105-:4=26.25`
520`1xx25+2xx20+1xx30=95``95-:4=23.75`
630`1xx20+2xx30+1xx35=115``115-:4=28.75`
735`1xx30+2xx35+1xx40=140``140-:4=35`
840`1xx35+2xx40+1xx30=145``145-:4=36.25`
930`1xx40+2xx30+1xx45=145``145-:4=36.25`
1045





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