Saudi Airlines wishes to use simple exponential smoothing to forecast passenger traffic in its Riyadh-Dhahran-Bombay route....

 

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Saudi Airlines wishes to use simple exponential smoothing to forecast passenger traffic in its Riyadh-Dhahran-Bombay route. In an effort to select an appropriate value for the smoothing constant a, they have made three sets of forecasts for the past 5 weeks based on: Fof5ta (A5-45) a = 0.2, a = 0.4, and a = 0.6 which are given below:- Week 12345 Actual Number of Passengers a = 0.2 3600 2940 3000 3100 3072 3240 4200 3078 3184 4900 3302 3590 3500 3622 a=0.4 Forecasts a = 0.6 3040 3376 3210 3804 3570 Saudi Airlines wishes to use simple exponential smoothing to forecast passenger traffic in its Riyadh-Dhahran-Bombay route. In an effort to select an appropriate value for the smoothing constant a, they have made three sets of forecasts for the past 5 weeks based on: Fof5ta (A5-45) a = 0.2, a = 0.4, and a = 0.6 which are given below:- Week 12345 Actual Number of Passengers a = 0.2 3600 2940 3000 3100 3072 3240 4200 3078 3184 4900 3302 3590 3500 3622 a=0.4 Forecasts a = 0.6 3040 3376 3210 3804 3570

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