A convenience store recently started to carry a new brand of iced tea in its territory. Management is interested in estimating future sales volume to determine whether it should continue to carry the new brand or replace it with another brand. At the end of April, the average monthly sales volume of the new drink was 700 cans and the trend was + 50 cans per month. The actual sales volume figures for May, June, and July are 760, 800, and 820, respectively. Use trend-adjusted exponential smoothing with α= 0.2 and β= 0.1 to forecast usage for June, July, and August.

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The Answer of A convenience store recently started to carry a new brand of iced tea in its territory. Management is interested in estimating future sales volume to determine whether it should continue to carry the new brand or replace it with another brand. At the end of April, the average monthly sales volume of the new drink was 700 cans and the trend was + 50 cans per month. The actual sales volume figures for May, June, and July are 760, 800, and 820, respectively. Use trend-adjusted exponential smoothing with α= 0.2 and β= 0.1 to forecast usage for June, July, and August.

A Convenience Store Recently Started to Carry a New Brand