Business, 15.10.2020 14:01 CameronVand21
Here are the actual tabulated demands for an item for a nine-month period (January through September). Your supervisor wants to test two forecasting methods to see which method was better over this period.
MONTH ACTUAL
January 110
February 130
March 150
April 170
May 160
June 180
July 140
August 130
September 140
Required:
a. Forecast April through September using a three-month moving average.
b. Use simple exponential smoothing with an alpha of 0.3 to estimate April through September, using the average of January through March as the initial forecast for April. (Do not round intermediate calculations. Round your answers to 2 decimal places.)
c. Calculate MAD for each method.
d. Use MAD to decide which method produced the better forecast over the six-month period.
Answers: 2
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Here are the actual tabulated demands for an item for a nine-month period (January through September...
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