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Brandon's Blueberry Farms, Inc. of Maine supplies fresh fruit retailers throughout the Northeast region of United States. In order to streamline costs, they forecast demand
Brandon's Blueberry Farms, Inc. of Maine supplies fresh fruit retailers throughout the Northeast region of United States. In order to streamline costs, they forecast demand by month using Exponential Smoothing Model and also use the Tracking Signal to determine the performance of their forecasting model and whether or not it's time to change the smoothing constant alpha. Here below are the forecasts and the actual demands for six months. Calculate the Tracking Signal for these 6 months. Month Forecast Actual 1 100 110 2 105 90 3 110 85 4 115 110 5 120 105 6 125 95 The firm wishes its tracking signal to always be within 4. An examination of the tracking signal reveals that Brandon's Blueberry Farms would need to adjust the smoothing constant alpha in is forecasting model in the following month: Group of answer choices Month 2 Month 6 None of the above Month 1 Month 4
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