Question: A) Forcast April through September using a 3-month moving average. B) Use simple exponential smoothing with an alpha of 0.3 to estimate April through September,

A) Forcast April through September using a 3-month moving average.
B) Use simple exponential smoothing with an alpha of 0.3 to estimate April through September, using the average of January through March as the inital forcast
C) Calculate the MAD for each method
PLEASE SOLVE ALL PARTS OF QUESTION FOR AN UPVOTE!!
 A) Forcast April through September using a 3-month moving average. B)
Use simple exponential smoothing with an alpha of 0.3 to estimate April
through September, using the average of January through March as the inital
forcast C) Calculate the MAD for each method PLEASE SOLVE ALL PARTS

Here are the actual tabulated demands for an item for a nine-month period (January through September). Your supervisor wants to test two forecasting methods to see which method was better over this period. a. Forecast April through September using a three-month moving average. Note: Round your answers to 1 decimal place. b. Use simple exponential smoothing with an alpha of 0.3 to estimate April through September, using the average of January through March as the initial forecast for April. Note: Do not round intermediate calculations. Round your answers to 2 decimal places. c-1. Calculate MAD for each method. Note: Round your answers to 1 decimal place. c-2. Use MAD to decide which method produced the better forecast over the six-month period. Exponential smoothing. Three-month moving average

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer
Step: 1 Unlock blur-text-image
Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock
Step: 3 Unlock

Students Have Also Explored These Related Finance Questions!