Question: (Chapter 5) A new car dealer has been using exponential smoothing with an alpha of 0.2 to forecast weekly new car sales. Given the data

(Chapter 5) A new car dealer has been using exponential smoothing with an alpha of 0.2 to forecast weekly new car sales. Given the data below, would a naive forecast have provided greater accuracy? Explain. Assume an initial exponential forecast of 60 units in period 2 (i.e., no forecast for period 1).

Period	Demand
1	57
2	62
3	58
4	60
5	60
6	56

First determine the exponential smoothing forecast and nave forecast for the entire time series.

Then compare the errors of both forecasts using MAD & MSE measures.

Can you provide answer in excel?

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