ICAEW BIP · Chapter 8 · Question 6 of 10
Sales for four consecutive months were 120, 135, 141, 150 units. What is the three-month moving average centred on the third month?
Test yourself: pick an answer
Reveal answer & explanation
Correct answer: C) 142
Explanation
The three-month moving average centred on month 3 uses months 2, 3 and 4: (135 + 141 + 150) / 3 = 426 / 3 = 142. The average of months 1 to 3 (132) would be centred on month 2.
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