) Using a weighted moving average with three periods, determine the sales for day 15. Use 3, 2, and 1 for the weights of the most recent, second most recent, and third most recent periods, respectively b) Find the MAD, MSE and MAPE b) Use exponential smoothing with a smoothing constant of 0.50 to forecast the sales (Assume that last period’s forecast for period 1 is equal to actual to begin the procedure (Ft1=Yt1). Which method do you think is best? Is this an improvement over the weighted average- use MAD only
) Using a weighted moving average with three periods, determine the sales for day 15. Use 3, 2, and 1 for the weights of the most recent, second most recent, and third most recent periods, respectively b) Find the MAD, MSE and MAPE b) Use exponential smoothing with a smoothing constant of 0.50 to forecast the sales (Assume that last period’s forecast for period 1 is equal to actual to begin the procedure (Ft1=Yt1). Which method do you think is best? Is this an improvement over the weighted average- use MAD only
Contemporary Marketing
18th Edition
ISBN:9780357033777
Author:Louis E. Boone, David L. Kurtz
Publisher:Louis E. Boone, David L. Kurtz
Chapter14: Pricing Strategies
Section14.2: Forecasting Demand
Problem 1LO
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a) Using a weighted moving average with three periods, determine the sales for day 15. Use 3, 2, and 1 for the weights of the most recent, second most recent, and third most recent periods, respectively
b) Find the MAD, MSE and MAPE
b) Use exponential smoothing with a smoothing constant of 0.50 to
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