Given an actual demand of 61,forecast of 58,and an
Of )3,what would the forecast for the next period be using simple exponential smoothing?
A)57.1
B)58.9
C)61.0
D)65.5

Question

Given an actual demand of 61,forecast of 58,and an 
Of )3,what would the forecast for the next period be using simple exponential smoothing?
A)57.1 
B)58.9 
C)61.0 
D)65.5

Quizplus · Accepted Answer

Simple exponential smoothing formula is: F(t+1) = α * D(t) + (1-α)*F(t)
Given actual demand of 61, forecast of 58 and alpha value of 0.3, 
F(2) = 0.3*61 + 0.7*58 = 18.3 + 40.6 = 58.9
Therefore, the forecast for the next period using simple exponential smoothing would be 58.9.

Given an Actual Demand of 61,forecast of 58,and an