Posted: September 9th, 2015

Given that the previous forecast of 65 turned out to be four units less than the actual

7. Given that the previous forecast of 65 turned out to be four units less than the actual demand and next forecast is 66, what would be the value of alpha if the simple exponential smoothing forecast method is used?
a) 0.02
b) 0.4
c) 0.04
d) 0.25
e) None of the above