Acme Inc. is looking to predict their spending plan as best as they can and to make
Question:
Acme Inc. is looking to predict their spending plan as best as they can and to make significant improvements to estimate future demand in the presence of uncertainty . You are the Private Fleet Manager and you want to make sure you can accurately budget for diesel fuel by using a suitable forecasting technique . You have been given basic raw data to forecast and make recommendations.
Perform a forecasting analysis to predict the 12 week future forecast for diesel fuel. Use :
a. 5-p moving average.
b. Exponential smoothing. Choose the best alpha value that you would recommend and make sure to explain your approach.
c. Is the linear regression between WTI and Diesel cost a good model for this exercise? What are your recommendations?
d. Research another factor ( besides WTI and Diesel cost), try to find the data for this variable and then perform a multiple linear regression to see if you can get a good model
Expert Answer:
5p moving average 5p moving average 02012017 09012017 5196 2597 16012017 NA 2585 23012017 5275 2569 2562 30012017 5263 06022017 5301 2558 13022017 529 ... View the full answer
