[Solution Library] The manager of the Petroco Service Station wants to forecast the demand for unleaded gasoline next month so that the proper number of
Question: The manager of the Petroco Service Station wants to forecast the demand for unleaded gasoline next month so that the proper number of gallons can be ordered from the distributor. The owner has accumulated the following data on demand for unleaded gasoline from sales during the past 10 months: Month Gasoline Demanded (gal.)
October 775
November 835
December 605
January 450
February 600
March 700
April 820
May 925
June 1500
July 1200
- Compute an exponential smoothed forecast, using an α value of 0.4
- Compute the MAD.
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