Assume an initial starting Ft of 306 units, a trend (T) of eight units, an alpha of 0.20, and a delta of 0.40. If actual demand turned out to be 294, calculate the forecast for the next period. (Round your answer to 1 decimal place.)

Assume an initial starting Ft of 306 units, a trend (T) of eight units, an alpha of 0.20, and a delta of 0.40. If actual demand turned out to be 294, calculate the forecast for the next period. (Round your answer to 1 decimal place.)

Essentials of Business Analytics (MindTap Course List)

2nd Edition

ISBN:9781305627734

Author:Jeffrey D. Camm, James J. Cochran, Michael J. Fry, Jeffrey W. Ohlmann, David R. Anderson

Publisher:Jeffrey D. Camm, James J. Cochran, Michael J. Fry, Jeffrey W. Ohlmann, David R. Anderson

Chapter8: Time Series Analysis And_forecasting

Section: Chapter Questions

Problem 4P: Consider the following time series data: Compute MSE using the most recent value as the forecast...

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Capital Asset Pricing Model

Capital asset pricing model, also known as CAPM, shows the relationship between the expected return of the investment and the market at risk. This concept is basically used particularly in the case of stocks or shares. It is also used across finance for pricing assets that have higher risk identity and for evaluating the expected returns for the assets given the risk of those assets and also the cost of capital.

Question

Assume an initial starting Ft of 306 units, a trend (Tt) of eight units,
an alpha of 0.20, and a delta of 0.40. If actual demand turned out
to be 294, calculate the forecast for the next period. (Round your
answer to 1 decimal place.)
Forecast for the next period
units

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