Develop forecasts for may and june using a three-month

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Historical demand for clothes at a Hot Tropic store is as follows:

Month

Demand

January

15

February

18

March

31

April

39

May

44

June

53

(a) Develop forecasts for May and June using a three-month moving average.

(b) Develop forecasts for May and June using Holt's model with α = 0.2, and β =0.1.

(c) What is the MAD for the forecasted demand in (a) and (b)? Which model will you choose?

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The given word file contains the problem involving the Time Series and forecasting using Moving Average Method and Holt's method.

Reference no: EM131243710

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