Winter’s method is being used to forecast quarterlyU.S. retail sales (in billions of dollars). At the end of the firstquarter, Lt 300, Tt 30, and the seasonal indexes are asfollows: quarter 1, 0.90; quarter 2, 0.95; quarter 3, 0.95;quarter 4, 1.20. During the second quarter, retail sales are$360 billion. Assume a 0.2, b 0.4, and g 0.5.a At the end of the second quarter, develop a forecastfor retail sales during the fourth quarter of the year.b At the end of the second quarter, develop a forecastfor the second quarter of the following year.

Winter’s method is being used to forecast quarterlyU.S. retail sales (in billions of dollars). At the end of the firstquarter, Lt 300, Tt 30, and the seasonal indexes are asfollows: quarter 1, 0.90; quarter 2, 0.95; quarter 3, 0.95;quarter 4, 1.20. During the second quarter, retail sales are$360 billion. Assume a 0.2, b 0.4, and g 0.5.a At the end of the second quarter, develop a forecastfor retail sales during the fourth quarter of the year.b At the end of the second quarter, develop a forecastfor the second quarter of the following year.

Practical Management Science

6th Edition

ISBN:9781337406659

Author:WINSTON, Wayne L.

Publisher:WINSTON, Wayne L.

Chapter13: Regression And Forecasting Models

Section13.7: Exponential Smoothing Models

Problem 28P: The file P13_28.xlsx contains monthly retail sales of U.S. liquor stores. a. Is seasonality present...

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