You are a camera retailer and are deciding how much to stock of a particular

digital camera. The camera comes in two colors: silver and red metallic. Demand

in the first $9$ weeks for the camera is shown in the following table. You started the

forecast process at the end of week $1,$ when you used the week $1$s demand as the

forecast for Week $2$s demand.

Week Demand for silver Demand for red metallic

$119032009$

$221111808$

$318051999$

$420101778$

$522221567$

$624351799$

$721131665$

$823481438$

$925551589$

a$.$ Calculate the simple exponential smoothing forecast for silver cameras

in Week $10$ with $=0\mathrm{.}5.$ What is MAD?

b$.$ Calculate the simple exponential smoothing forecast for red metallic

cameras in Week $10$ with $=0\mathrm{.}5.$ What is MAD?

c$.$ How many silver cameras do you need to stock if you want to make

sure that the probability of not meeting the demand in Week $10$ is $0\mathrm{.}1?$

d$.$ How many red metallic cameras do you need to stock if you want to

make sure that the probability of not meeting the demand in Week $10$ is

$0\mathrm{.}1?$

e$.$ The only difference between the two types of camera is an inexpensive

outside shell. Hence you can forecast the combined demand $($silver

plus red metalic$),$ and stock enough basic cameras, without the colored

outside shell, to ensure that the probability of not meeting the combined

demand is $0\mathrm{.}1.$ How many basic cameras $($without the colored outside

shell$)$ do you need to stock? Is this number greater than or less than the

sum of your answers to part c$?$