Question: The following information has been collected on the sales of greeting cards for the past 6 weeks:

105 90 95 110 105 100

a. Produce exponential smoothing forecasts for the series using a smoothing constant of .2.

b. Compute the mean square error for the forecasts produced with a smoothing constant of .2.

c. What is the forecasted sales for week 7?

d. Is a smoothing constant of .2 or .3 better for the sales data? Explain.