Resolve Problem 4 19 with 1 and
Resolve Problem 4.19 with α = .1 and β = .8. Using MSE, determine which smoothing constants provide a better forecast.
In Problem 4.19, Income at the law firm Smith and Wesson for the period February to July was as follows:


Use trend-adjusted exponential smoothing to forecast the law firm’s August income. Assume that the initial forecast for February is $65,000 and the initial trend adjustment is 0. The smoothing constants selected are α = .1 and β =.2.
Membership TRY NOW
  • Access to 800,000+ Textbook Solutions
  • Ask any question from 24/7 available
    Tutors
  • Live Video Consultation with Tutors
  • 50,000+ Answers by Tutors
OR
Relevant Tutors available to help