for the same data as in previous problem, perform the trend adjusted (double) ex

Question

for the same data as in previous problem, perform the trend adjusted (double) exponential smoothing forecasts

week 4 and 5 using alpha=0.4 and beta =0.5. the initial forecasts are given as follows TAF0=800 S0=800 and the initial trend is T0=50

1.what is the estimated trend for week 4(Tt)?

a.11.50

b.4.40

c.4.91

d.15.98

2.what is the trend adjusted forecast for week 5(TAF5)?

a.816.780

b.853.695

c.894.620

d.830.080

week actual sale TAFt St Tt 0 800 800 50 1 800 850 830 50 2 750 880 828 40 3 820 868 848.8 14 4 770 ? ? ? 5 -- ? -- --

Explanation / Answer

1. 4.91 is the right answer

2. 830.80

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