Describe double exponential smoothing, Operation Management

Assignment Help:

The Cardinal Electronics Company must project the sales of cellular phones for the next year (called year 2). The number of cell phones sold by Cardinal Electronics in each of the past 6 months (July of year 1 through December of year 1) is shown below. Month Number of Cellular Phones Sold July 183 August 215 September 294 October 333 November 410 December 438 a. Forecast the number of cellular phones demanded in January of year 2 using a rolling (i.e. updated at end of each month when new demand data becomes available) 4-month linear regression model. For example, forecasts generated at the end of October are made by fitting a linear regression to the demands in months July through October and forecasts generated at the end of December are made by fitting a linear regression to the demands in months September through December. Forecast the number of cellular phones demanded in July of year 2. Calculate the MAD, MSE, and MAPE for a rolling 4-month linear regression model. b. Using Double Exponential Smoothing (DES) with ? = 0.15 and ?= 0.10 (i.e. assume the data has a linear trend pattern), forecast the number of cellular phones demanded in January of year 2. Forecast the number of cellular phones demanded in July of year 2. Calculate the MAD, MSE, and MAPE for your double exponential smoothing model. c. Based on the measures of forecast accuracy you calculated for the part a) linear regression model and the part b) DES (0.15, 0.10) model, which model is a better fit for this data?


Related Discussions:- Describe double exponential smoothing

Explain competitors can be inferred by demonstration, Security Services, In...

Security Services, Inc. and Redline Protectors were the two predominant providers of home alarm systems in the Dallas area. They had become the two big businesses after the smaller

Explain quality management program, Use your critical thinking skills and d...

Use your critical thinking skills and discuss what you can deduce from this data. Please think about both behaviours and processes and linkage to the quality management program.

Explain the employees in the chattanooga ice cream case, Who are the employ...

Who are the employees in the Chattanooga Ice Cream Case?

Why benefits are strategically important to employers, Why benefits are str...

Why benefits are strategically important to employers, and what are some key strategic considerations?

Explain what is the break-even point for this operation, A product is curre...

A product is currently made in a job shop, where fixed costs are $4,500 per year and variable cost is $10 per unit. The firm sells the product for $70 per unit. What is the break-e

Define the relationships among the four functions of manage, Explain the re...

Explain the relationships among the four functions of management? Please dont copy paste from google.

Explain what are the values of the slack, For the linear program Max 3A + 2...

For the linear program Max 3A + 2B s.t. A + B ? 4 3A + 4B ? 24 A ? 2 A - B ? 0 A, B ? 0 a. Write the problem in standard form. b. Solve the problem. c. What are the values of the s

Explain process as it relates to risk management, We have now covered the s...

We have now covered the steps of the Active Threat and Opportunity Management (ATOM) process. What is your opinion of the process as it relates to risk management? What are its ben

Explain the ebq model, Applying the EBQ model, what batch size would you re...

Applying the EBQ model, what batch size would you recommend for this product? How long will each batch take to produce, and how many batches per year will be made? Should this mode

Write Your Message!

Captcha
Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd