Which value of results in better forecast

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The ABC Company has provided us with the following data on the demand for their product (stated in 1000 units) during the last 8 years. Years ? 1 2 3 4 5 6 7 8 Demand? 5.0 8.3 13.9 16.2 15.4 18.6 16.4 17.5 A)- Use a three-year moving average to forecast demand for year 9. If the actual demand for year 9 is 18.3, forecast the demand for year 10. B)- Predict the demand for years 9 and 10, using the Exponential smoothing method. Do those with two different values of α, (α =0,35, and α =060). Which value of α results in better forecast? C)- Use linear regression to forecast the demand for years 9 and 10.

Reference no: EM132212698

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