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A company uses exponential smoothing with trend to forecast monthly sales of its product, which show a trend pattern. At the end of week 5,
A company uses exponential smoothing with trend to forecast monthly sales of its product, which show a trend pattern. At the end of week 5, the company wants to forecast sales for week 6. The trend through week 4 has been 27 additional cases sold per week. Average sales have been 101 cases per week. The demand for week 5 was 109 cases. The company uses = 0.20 and = 0.15. Make a forecast including trend for week 6.
The smoothing of the level of the series is:
The smoothing of the trend is:
The forecast including the trend is:
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