one parameter exponential smoothing model, Financial Accounting

The following table represents the demand for a product for the years 1990 to 2007:

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a.    Develop a linear trend line and use it to predict the quantity demanded for 2008, 2009 and 2010.
b.    Develop an annual  growth trend line and use it to predict the quantity demanded for 2008, 2009 and 2010.
c.    Use the one parameter exponential smoothing model with a smoothing constant of 0.40 and predict the quantity demanded value of 2008.

 

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