Question: With the gasoline time series data from the given table, show the exponential smoothing forecasts using = 0.1. Week Sales (1000s of gallons) 1 17

With the gasoline time series data from the given table, show the exponential smoothing forecasts using = 0.1.

Week Sales (1000s of gallons)
1 17
2 21
3 19
4 23
5 18
6 16
7 20
8 18
9 22
10 20
11 15
12 22

  1. Applying the MSE measure of forecast accuracy, would you prefer a smoothing constant of = 0.1 or = 0.2 for the gasoline sales time series? Do not round your interim computations and round your final answers to two decimal places.
    = 0.1 = 0.2
    MSE
    Prefer: 0.2
  2. Are the results the same if you apply MAE as the measure of accuracy? Do not round your interim computations and round your final answers to two decimal places.
    = 0.1 = 0.2
    MAE
    Prefer: 0.1
  3. What are the results if MAPE is used? Do not round your interim computations and round your final answers to two decimal places.
    = 0.1 = 0.2
    MAPE

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