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3) Weekly demand for pairs of pants at a Hot Topic store is as follows: Week Demand 1 118 2 126 3 138 4
3) Weekly demand for pairs of pants at a Hot Topic store is as follows: Week Demand 1 118 2 126 3 138 4 134 5 106 6 129 7 106 8 114 9 122 10 112 11 102 12 109 Estimate demand for the week 13 using a four-week moving average as well as simple exponential smoothing with a=0.1. Evaluate the MAD for each case. Which of the two methods do you prefer? Why? NOTE: For the simple exponential smoothing use the actual demand from the first period as the forecast for the first period.
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