Income at the law firm of Smith and Jones for the period February to July was as follows: MontH February March April May June July Income (in $ thousand) 90.0 91.5 96.0 85.4 92.2 96.0

Part 2 Assume that the initial forecast for February is $85,000 and the initial trend adjustment is 0. The smoothing constants selected areALPHA =0.2 andBETA=0.9 . Using trend-adjusted exponential smoothing, the forecast for the law firm's August income enter your response here thousand dollars (round your response to two decimal places). Part 3 The mean squared error (MSE) for the forecast developed using trend-adjusted exponential smoothing enter your response here (thousand (round your response to two decimal places). Part 4 If for the forecast with the smoothing constantsAPHA=0.2 and BETA=0.3the MSE is27.57 (thousand , which smoothing constants provide a better forecast? Part 5 Based upon the MSE criterion, the exponential smoothing with ALPHA = enter your response here and BETA = enter your response here is to be preffered.