Your company produces a favorite summertime food product, and you have been placed in charge of forecasting
Question:
a. Since the data appear to have both seasonality and trend, you should estimate a Winters' model and calculate its root-mean-squared error.
b. You also have access to a survey of the potential purchasers of your product. This information has been collected for some time, and it has proved to be quite accurate for predicting shipments in the past. Calculate the root-mean-squared error of the purchasers' survey data.
c. After checking for bias, combine the forecasts in parts (a) and (b) and determine if a combined model may forecast better than either single model.
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Related Book For
Business Forecasting With Forecast X
ISBN: 647
6th Edition
Authors: Holton Wilson, Barry Keating, John Solutions Inc
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