Question: Please show equations! Forecast Forecast Error Squared Error 3month Weighted Mdving Average Month Sales ($ millions) January 20 February 24 March 27 April 31 May

Please show equations!

Please show equations! Forecast Forecast ErrorPlease show equations! Forecast Forecast Error

Forecast Forecast Error Squared Error 3month Weighted Mdving Average Month Sales ($ millions) January 20 February 24 March 27 April 31 May 37 June 47 July 53 August 62 September 54 October 36 November 32 December 29 MSE= Forecast Forecast Error Squared Error Exponential Smoothing Month Sales ($ millions) January 20 February 24 March 27 April 31 May 37 June 47 July 53 August 62 September 54 October 36 November 32 December 29 MSE= Problem 1 (Show all your problem-solving processes on the MS Excel template given; Once you are done, submit the template on the same dropbox). (8 points) Sales for the past 12 months at Dalworth Company are given here (Round your answers to the nearest tenth). Month Sales ($ millions) Forecast 3-month weighted Exponential MA Smoothing January February March April May June July August September October November December 20 24 27 31 37 47 53 62 54 36 32 29 a. Use a 3-month weighted moving average to forecast the sales for the months April through December. Use weights of (1/6), (2/6), and (3/6), giving more weight to more recent data. b. Use exponential smoothing with a = 0.6 to forecast the sales for the months February through December. Assume that initial forecast for January was $20 million. c. Find the mean squared error (MSE) for both 3-month weighted moving average and exponential smoothing. d. Compare the performance of the two methods by using the mean squared error (MSE) as the performance criterion. Which method would you recommend

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