1. Sales of Volkswagens popular Beetle have grown steadily at auto dealerships in Nevada during the past 5 years (see table below). The sales manager had predicted before the new model was introduced that first year sales would be 410 VWs. Using exponential smoothing with a weight of =.30, develop forecasts for years 2 through 6.

			Forecast Exponential		Absolute
Year		Sales	Smoothing a = 0.6		Deviation
1		450	410.0
2		495
3		518
4		563
5		584
6
				Forecast Exponential		Absolute
Year	Sales			Smoothing a = 0.9		Deviation
1	450			410.0
2	495
3	518
4	563
5	584
6