What is the forecast for this week, using exponential smoothing and α = .1?
1. The ABC Floral Shop sold the following number of geraniums during the last two weeks: Develop a spreadsheet for the following. a. Calculate forecasts using a three- and five-period moving average. b. Graph these forecasts and the original data using Excel. What does the graph show? c. Which of the above forecasts is best? Why? 2. The Handy-Dandy Department Store had forecast sales of $110,000 for the previous week. The actual sales were $130,000. a. What is the forecast for this week, using exponential smoothing and α = .1? b. If sales this week turn out to be $120,000, what is the forecast for next week?
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