Exponential smoothing forcast for week 3:

MAE:

Which forecast method is more accurate? and why?

3. Your professor, Jun, prepared and printed a demand forecast table using the 2 week Moving Average forecasting method and the Exponential Smoothing forecasting method with a = 0.4. He grabbed coffee before the Production and Operations Management class and did not want to be late for the class. While he was rushing to the classroom, he spilled some coffee on the paper and some numbers are illegible. Can you help Jun to recover the numbers in the table and find MAE? 2 week Moving Average Week 1 Week 2 Week 3 Week 4 Week 5 Week 6 Demand 84 120 104 99 92 101 Forecast 84 110 102 112 101.5 Forecast Errors 0 -10 -2 13 9.5 Moving Average forecast for week 6: 95.5 MAE: . Exponential Smoothing with a = 0.4 Week 2 Week 3 104 120 Demand Forecast Forecast Errors Week 1 84 84 0 Week 4 99 100.6 1.6 Week 5 92 99.9 7.9 Week 6 101 96.8 -4.2 84 -36 2