To calculate an exponential smoothing forecast of demand, what values are required?
A) alpha, number of periods, last actual demand
B) alpha, last forecast, number of periods
C) alpha, last forecast, last actual demand
D) last forecast, number of periods, averaging period

Question

Quizplus · Accepted Answer

Exponential smoothing forecasting requires the alpha value, which determines the weight assigned to the most recent forecast error, the last forecast, and the last actual demand. The number of periods and averaging period are not necessary for calculating the forecast using exponential smoothing.

To Calculate an Exponential Smoothing Forecast of Demand, What Values