Thinking Tools Services assembles customized personal computers from generic parts. Formed and operated by part-time SVCI students Paulette Cruz and Maureen Luis, the company has had steady growth since it started. The company assembles computers mostly at night, using part-time students. Paulette and Maureen purchase generic computer parts in volume at a discount from a variety of sources whenever they see a good deal. Thus, they need a good forecast of demand for their computers so that they will know how many parts to purchase and stock. They have compiled demand data for the last 12 months as reported below. PeriodMonthDemandPeriodMonthDemand 1January177July20 2February218August18 3March199September22 4April2310October20 5May1811November15 6June1612December22 a. Use exponential smoothing with smoothing parameter α = 0.2 to compute the demand forecast for January (Period 13), using an initial forecast of 18.

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1 2 3 4 567 8 9 10 11 12 13 14 15 16 17 18 A Period 1 2 345 6700 8 9 10 11 12 13 B Mar ... View the full answer