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  3. Forecasting Product Demand in R

Exercise

Using average historical proportions

Now that you have a regional sales forecast for the metropolitan region we can distribute this forecast down. First, let's try distributing it down using the average historical proportion technique. Your forecast is saved as for_MET_t_xts, your sales objects are MET_hi, MET_lo, MET_sp, and MET_total, and you have three validation data sets called MET_hi_v, MET_lo_v, and MET_sp_v.

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Calculate the average historical proportions for each product in the metropolitan region (MET_hi, MET_lo, MET_sp).