The department at a local department store has tracked the sales of a product over the last ten weeks. Forecast demand using exponential smoothing with an alpha of 0.3, and an initial forecast of 30.0 for period 1. a. Calculate the MAD covering periods 2-10. b. Calculate the tracking signal covering periods 2-10. c. What do you recommend? Period (t) Demand (At) 1 24 2 23 3 26 4 36 5 26 6 30 7 32 8 26 9 25 10 28
The department at a local department store has tracked the sales of a product over the last ten weeks. Forecast demand using exponential smoothing with an alpha of 0.3, and an initial forecast of 30.0 for period 1. a. Calculate the MAD covering periods 2-10. b. Calculate the tracking signal covering periods 2-10. c. What do you recommend? Period (t) Demand (At) 1 24 2 23 3 26 4 36 5 26 6 30 7 32 8 26 9 25 10 28
Practical Management Science
6th Edition
ISBN:9781337406659
Author:WINSTON, Wayne L.
Publisher:WINSTON, Wayne L.
Chapter13: Regression And Forecasting Models
Section13.7: Exponential Smoothing Models
Problem 26P: The file P13_26.xlsx contains the monthly number of airline tickets sold by the CareFree Travel...
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Question
The department at a local department store has tracked the sales of a product over the last ten weeks.
a. Calculate the MAD covering periods 2-10.
b. Calculate the tracking signal covering periods 2-10.
c. What do you recommend?
|
Period (t) |
Demand (At) |
|
1 |
24 |
|
2 |
23 |
|
3 |
26 |
|
4 |
36 |
|
5 |
26 |
|
6 |
30 |
|
7 |
32 |
|
8 |
26 |
|
9 |
25 |
|
10 |
28 |
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