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Exponential smoothing forecast

The Oceanside hotel is adjacent to city coliseum, a 24,000-seat arena that is home to the city's professional basketball and ice hockey teams and that hosts a variety of concerts, trade shows, and conventions throughout the year. The hotel has experienced the following occupancy rates for the nice years since the coliseum opened:
Year
1 75%
2 70
3 72
4 77
5 83
6 81
7 86
8 91
9 87
Compute an exponential smoothing forecast with a=0.20, an adjusted exponential smoothing forecast with a=0.20 and b=0.20 and a linear trend line forecast. Compare the three forecasts using MAD and average error (E) and indicate which forecast seems to be most accurate

Solution Preview

** See the attached EXCEL file for more details. **
Thanks!!

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The Oceanside hotel is adjacent to city coliseum, a 24,000-seat arena that is home to the cityâ??s professional  basketball and ice hockey teams and that hosts a variety of concerts, trade shows, and conventions throughout the year.  The hotel has experienced the following occupancy rates for the nice years since the coliseum opened:
Compute an exponential smoothing forecast with a=0.20, an adjusted exponential smoothing forecast with a=0.20 and b=0.20 and a linear trend line forecast.  Compare the three forecasts using MAD and average error (E) and indicate which forecast ...

Solution Summary

This post shows how to calculate exponential smoothing forecast and the comparisonthe three forecast using MAD and average error

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