OSCM 5.

Use the arithmetic average of the first six months of data as a baseline to initialize the exponential smoothing.

a. Determine the one-step-ahead exponential smoothing forecasts for August through December, assuming α = 0.20.

b. Compare the accuracy of the forecasts obtained in part (a) with the one-step-ahead six-month moving-average forecasts.

c. Comment on the reasons for the result you obtained in part (b)

 
 

Transcribed Image Text:

Month January February March April May June Demand 89 57 144 221 177 280 Month July August September October November December Demand 223 286 212 275 188 312 Month January February March April May June Demand 89 57 144 221 177 280 Month July August September October November December Demand 223 286 212 275 188 312

Answer rating: 100% (QA)

a The onestepahead exponential smoothing forecasts for August through December ... View the full answer