Explore BrainMass

Explore BrainMass

    Exponentially Smoothed Forecast, MAD, MAPD in EXCEL

    This content was COPIED from BrainMass.com - View the original, and get the already-completed solution here!

    The manager fo 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 ten months:

    Month Gasoline Demanded (gal)
    Oct 800
    Nov 775
    Dec 630
    Jan 500
    Feb 645
    March 690
    April 730
    May 810
    June 1,200
    July 980

    Compute an exponentially smoothed forecast using an symbol a which stand for a weighting factor referred to as the smoothing constant of a value of .30

    Compute an adjusted exponentially smoothed forecast with a which stand for a weighting factor referred to as the smoothing constant =.30 and B.20

    Compute the two forecast by using MAPD and indicate which seems to be more accurate

    © BrainMass Inc. brainmass.com October 1, 2020, 11:36 pm ad1c9bdddf

    Solution Summary

    Two Exponential Smoothed Forecasts have been performed in Excel using two different smoothing constants of 0.02 and 0.03. Forecast Error, MAD and MAPD have been calculated and comparison between the two forecasts using these MAD and MAPD values has been shown.