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Prompt: 10.24 The choice of the smoothing constants, α and β, has a considerable effect on the accuracy of the forecasts obtained by using exponential smoothing with trend.

Prompt: 10.24 The choice of the smoothing constants, α and β, has a considerable effect on the accuracy of the forecasts obtained by using exponential smoothing with trend.

Hello all,

I’m really lost on this week 6 sample assignment.  See prompt:

Prompt: 10.24  The choice of the smoothing constants, α and β, has a considerable effect on the accuracy of the forecasts obtained by using exponential smoothing with trend.

For each of the following time series, set α = 0.2 and then compare MAD obtained with β = 0.1, 0.2, 0.3, 0.4, and 0.5.

Begin with initial estimates of 50 for the  average value and 2 for the trend.  a. 52, 55, 55, 58, 59, 63, 64, 66, 67, 72, 73, 74  b. 52, 55, 59, 61, 66, 69, 71, 72, 73, 74, 73, 74  c. 52, 53, 51, 50, 48, 47, 49, 52, 57, 62, 69, 74

Step 1) Change the Beta Value and create a graph for each of the 5 given Beta values in each of the 3 databases. You could also create one graph per tab with 5  separate lines. The graphs is already part of the spreadsheet, you need to create the lines for the Beta values. There is no need to create additional tabs in the  spreadsheet.

Step 2) Briefly describe the impact of the Beta value on the 3 databases. You should submit a written paragraph with explanation either in a separate Tab in the  Excel Template for a separate word document. No references needed.  **************

I’ve uploaded the page from the assignment book, screenshot 1 is the data sets while screenshot 2 is a data chart with sales metrics.  The 2nd I think is only for reference as needed.

Also attached is the work template we’re suppose to complete.  I’d like the full steps and template done if possible.  Thanks so much in advance!


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