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TheGalamtour companyhasdemandforan itemformonthsJanuarythrough September. Your manager needs to compare two forecasting strategies to see which one performed better over time. Month Actual Month Actual January
- TheGalamtour companyhasdemandforan itemformonthsJanuarythrough September. Your manager needs to compare two forecasting strategies to see which one performed better over time.
Month | Actual | Month | Actual |
January | 110 | June | 180 |
February | 130 | July | 140 |
March | 150 | August | 130 |
April | 170 | September | 140 |
May | 160 |
- ForecastAprilthrough Septemberusingathree-monthmoving average.
- Usesimpleexponentialsmoothingwithanalphaof0.3toestimate Aprilthrough September,using theaverageofJanuarythrough Marchastheinitialforecast for April.
- UseMADtodecide whichmethodproduced thebetterforecast overthesix- month period and advise your manager of the better method.
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