Consider the following data and calculate S₂ using simple exponential smoothing and $\alpha$ = 0.3. A)18.40 B)19.18 C)19.00 D)19.60

Question

Quizplus · Accepted Answer

Using simple exponential smoothing, we have: S1 = 11 F1 = 11 F2 = α(12) + (1-α)F1 = 0.3(12) + 0.7(11) = 11.3 F3 = α(0) + (1-α)F2 = 0.3(0) + 0.7(11.3) = 7.91 Therefore, S₂ = (11-11.3)^2 + (12-7.91)^2 + (0-11.3)^2 = 3.34 + 14.63 + 127.69 = 145.66. Thus, the closest answer choice is B) 19.18.

Consider the Following Data and Calculate S2 Using Simple Exponential α\alphaα

Consider the Following Data and Calculate S₂ Using Simple Exponential $\alpha$