After graduating from college, you and your friends start selling birdhouses made from recycled plastic. The idea has caught on, as shown by the following sales figures:
MONTH DEMAND
March........... 220
April........... 2,240
May............ 1,790
June............ 4,270
July............ 3,530
August ............ 4,990
a. Prepare forecasts for June through September by using a three-period moving average model.
b. Prepare forecasts for June through September by using an exponential smoothing model with a = 0.5.
Assume that the forecast for May was 2,000.
c. Prepare forecasts for June through September by using an adjusted exponential smoothing model with a = 0.5 and b = 0.3. Assume that the unadjusted forecast (Ft) for May was 2,000 and the trend factor (Tt) for May was 700.