Question: Following are the data on demand for white bread loaves at a bakery. Day Loaves 1 1 9 4 2 2 1 4 3 2

Following are the data on demand for white bread loaves at a bakery.
Day Loaves
1194
2214
3217
4228
5237
6240
7249
8259
9258
10267
11281
12278
13279
14288
15313
a. Develop a linear trend equation for the above data on demand for white bread loaves at a bakery (use of Excels Trendline, with display Equation on chart option, is recommended), and use it to forecast demand on day 16.(Round the final answers to 2 decimal places.)
Y =
7.08
x +
196.84
Forecast demand on day 16
310.12
b. The variations around the linear trend line seem to have above- and below-the-line runs. Therefore, use trend-adjusted exponential smoothing with \alpha =0.3 and \beta =0.2 to model the bread demand. Use the first four days to estimate the smoothed initial trend that you use for periods 4 and 5(use the increase from day 1 to day 4 divided by 3). Also, use A4 to estimate S4. Start forecasting day 5. What is the forecast for day 16?(Round the final answers to 2 decimal places.)
Period TAFt
5
6
7
8
9
10
11
12
13
14
15
16

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