(b) It was necessary to forecast (AAA) and (3-4) rates for future periods before it was possible to get forecasts for D(EOM). Holt's linear exponential smoothing method was used in Section 6/5/2 to do this. However, this is not necessarily the best choice and no attempt was made to optimize the parameter values. Try ¯nding a better method to forecast these (AAA) and (3-4) rates, and then recompute the forecasts for D(EOM) according to the scheme laid out in Table 6-14.