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The hughes supply company uses an inventory management

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Question: The Hughes Supply Company uses an inventory management method to determine the monthly demands for various products. The demand values for the last 12months of each product have been recorded and are available for future forecast-ing. The demand values for the 12 months of 2006 for one electrical fixture are presented in Table below. Use exponential smoothing with a smoothing constant of .5 and an initial value of 205 to forecast the demand for January 2007.

Month     Demand
Jan-06      205
Feb-06     251
Mar-06     304
Apr-06     284
May-06    352
Jun-06     300
Jul-06      241
Aug-06    284
Sep-06    312
Oct-06     289
Nov-06     385
Dec-06     256

Reference no: EM13576642

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