Question: The income of the saxbys Experiential Learning Code at Bowie State University income for the period January-June 2021 is as follows: Month January February

The income of the saxbys Experiential Learning Code at Bowie State University

 

The income of the saxbys Experiential Learning Code at Bowie State University income for the period January-June 2021 is as follows: Month January February March April May June July Income (In thousands a=0.2 $) 55 58 66 65 72 75 a=0.4 A. Use exponential smoothing with a=0.2 and a=0.4 to forecast July income. Assume that the initial forecast for January for the exponential smoothing models is $60,000. B. Based on MAD, which of the model provides a better forecast? Justify your answer by showing all your calculations. C. Calculate the MSE from the two-month moving average model. Round your answer to 3 decimal places

Step by Step Solution

3.54 Rating (158 Votes )

There are 3 Steps involved in it

1 Expert Approved Answer
Step: 1 Unlock

A Exponential Smoothing with alpha02 62972 Exponential Smoothing with alpha04 63309 Exponential Smoo... View full answer

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 Accounting Questions!