3 The following tabulations are actual sales of units for six months and a starting forecast in January.
a. Calculate forecasts for the remaining five months using simple exponential smoothing with α = 0.2.
b. Calculate MAD for the forecasts.
January 100 80
Please see the attached file.
t Month Actual Smoothed Forecast % error
1 January 100 84.0 ...
This solution shows step-by-step calculations in an Excel file to determine sale forecast from January to June using simple exponential smoothing. A mean squared error, mean absolute percent error and percent positive errors are also calculated.