The owners of Hal's Cookie Company have collected sales data for the past 8 months.These data are shown as follows: Using a starting forecast in period 1 of 100,the forecast bias over periods 2-8 is negative when a single exponential smoothing model is used with a smoothing constant of 0.20.

Question

The owners of Hal's Cookie Company have collected sales data for the past 8 months.These data are shown as follows:  Using a starting forecast in period 1 of 100,the forecast bias over periods 2-8 is negative when a single exponential smoothing model is used with a smoothing constant of 0.20.

Quizplus · Accepted Answer

We cannot determine if the answer is true or false based on the given information. The fact that the forecast bias over periods 2-8 is negative does not necessarily mean that the single exponential smoothing model with a smoothing constant of 0.20 is the cause. Other factors could be influencing the sales data.

The Owners of Hal's Cookie Company Have Collected Sales Data