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Answer all the questons Q3. (Total 25 points) Goodyear Tire and Rubber Company is the ninth largest tire manufacturer in the world. Here are the
Answer all the questons
Q3. (Total 25 points) Goodyear Tire and Rubber Company is the ninth largest tire manufacturer in the world. Here are the sales revenues for year 1 through year 5 : a. When might a manager prefer linear trend technique to simple moving average technique? Explain your answer. (5 points) b. Based on MAD for from year 3 to year 5, which method (linear-trend or double exponential smoothing method with =0.4 and =0.2 (start with initial estimates S1 =$4,867.90 and T1=$201.5 for the year 1)) provides the better forecasts? Explain. Forecast the sales revenue for year 6 and year 7 based on your preferred method (20 points) Step by Step Solution
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