(4-b). Use simple exponential smoothing with α = 0.6 to forecast the tire sales for September through December. Assume that the forecast for August was for 46 sets of tires. Do your forecasts seem to be biased? Why or why not? Month Sales August 53 September 35 October 48 November 40

(4-b). Use simple exponential smoothing with α = 0.6 to forecast the tire sales for September through December. Assume that the forecast for August was for 46 sets of tires. Do your forecasts seem to be biased? Why or why not? Month Sales August 53 September 35 October 48 November 40

Practical Management Science

6th Edition

ISBN:9781337406659

Author:WINSTON, Wayne L.

Publisher:WINSTON, Wayne L.

Chapter13: Regression And Forecasting Models

Section13.6: Moving Averages Models

Problem 20P: The file P13_20.xlsx contains the monthly sales of iPod cases at an electronics store for a two-year...

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Concept explainers

Forecasting in Business

Forecasting is the process of predicting the future based on the past and the present data and circumstances. In other words, forecasting is the act of making a detailed analysis of future events based on the decisions made in the past as well as the present. Forecasting plays a very important role in operational management as it helps in planning and decision-making. It is not only important for the success of a business but also contributes to individual growth and success. Many business organizations or companies have failed due to the shortcomings of their forecasting.

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Month	Sales
August	53
September	35
October	48
November	40

Leveraging special tenchniques in analyzing historical data to predict future trends. Forecasting covers the methods and types of forecasting and their application to case studies.

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