Logout Open In App
Open In App
Warning: foreach() argument must be of type array|object, bool given in /var/www/html/web/app/themes/studypress-core-theme/template-parts/header/mobile-offcanvas.php on line 20

Chapter 4: Q7PE (page 485)

If the demand in the current week was 102 units and we had forecast it to be 125, what would be next week’s forecast using an exponential smoothing model with an alpha of 0.3?

Short Answer

Expert verified

118 units

Step by step solution

01

Forecasting

The technique of forecasting the outcome is based on historical and current data. These can then be matched to what occurs is calledForecasting.

02

  Calculating the next week’s forecast

Given,

Alpha= 0.3

Previous actual sales = 102

Previous forecast = 125

The equation of the Exponential smoothing model:

Unlock Step-by-Step Solutions & Ace Your Exams!

  • Full Textbook Solutions

    Get detailed explanations and key concepts

  • Unlimited Al creation

    Al flashcards, explanations, exams and more...

  • Ads-free access

    To over 500 millions flashcards

  • Money-back guarantee

    We refund you if you fail your exam.

Start your free trial

Over 30 million students worldwide already upgrade their learning with Vaia!

One App. One Place for Learning.

All the tools & learning materials you need for study success - in one app.

Get started for free

Most popular questions from this chapter

Distinguish between in-process inventory, safety stock inventory, and seasonal inventory.

Question: What part of SAP gives users personalized access to a range of information, applications, and services supported by the system?

Period of time during which a customer has a specified level of opportunity to make changes.

Question: Part of an ERP system that manages the activities within a certain functional area.

Term used for a computer system that integrates application programs for the different functions in a firm.
See all solutions

Recommended explanations on Business Studies Textbooks

Organizational Behavior

Read Explanation

Corporate Finance

Read Explanation

Sales in Business

Read Explanation

Strategic Analysis

Read Explanation

Intermediate Accounting

Read Explanation

Nature of Business

Read Explanation
View all explanations

What do you think about this solution?

We value your feedback to improve our textbook solutions.

Study anywhere. Anytime. Across all devices.

Sign-up for free