A restaurant wants to forecast its daily weekly. Historical data (in dollars) for the last 15...

 

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A restaurant wants to forecast its daily weekly. Historical data (in dollars) for the last 15 weeks is shown below: 4 Week 1 2 3 5 6 7 8 9 19 11 12 13 14 15 Sales 338 318 338 301 329 310 311 311 353 373 332 307 314 362 303 The manager is trying to choose a good forecasting model for forecasting the demand. She is considering Single Exponential Smoothening (SES) method as the forecasting model. She is considering two a values 0.2 and 0.5. a. Calculate SES forecast values for a = 0.2 and a = 0.5 separately. b. Calculate MSE value for each a value separately. c. Which alpha value gives better forecast model? Explain why. A restaurant wants to forecast its daily weekly. Historical data (in dollars) for the last 15 weeks is shown below: 4 Week 1 2 3 5 6 7 8 9 19 11 12 13 14 15 Sales 338 318 338 301 329 310 311 311 353 373 332 307 314 362 303 The manager is trying to choose a good forecasting model for forecasting the demand. She is considering Single Exponential Smoothening (SES) method as the forecasting model. She is considering two a values 0.2 and 0.5. a. Calculate SES forecast values for a = 0.2 and a = 0.5 separately. b. Calculate MSE value for each a value separately. c. Which alpha value gives better forecast model? Explain why.

Answer rating: 100% (QA)

a The Single Exponential Smoothing SES forecast values can be calculated using the formula Ft Dt1 1 ... View the full answer