Question: #28 (I need help with part B only) Part A Consider the following actual demand and forecast data for ARX AG a national distributor of

#28 (I need help with part B only) Part A Consider the following actual demand and forecast data for ARX AG a national distributor of commercial blends and custom formulated fertilizers for traditional and organic crop nutrition needs. All data is in tons.

Month

Forecast

Actual Demand

1

1900

1890

2

1892

1840

3

1850

1838

4

1840

1831

5

1833

1830

6

1831

1800

7

1806

1780

8

1785

1740

9

1749

1732

10

11

12

Develop a forecast for month 10 using exponential smoothing with a smoothing constant of .8. Note that the initial forecast of 1900 was not derived using exponential smoothing. Select the answer that best matches yours.

A) 1750 B) 1773 C) 1800 D) 1735 (answer) E) 1780 Part B Continuing with ARX AG what is the Mean Absolute Deviation of the Forecast?

A) 24.38 B) 23.89 C) 22.75 D) 25.08 E) 24.92

__PRESENT

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