Samsung is trying to forecast demand for first quarter 2017 for one of their memory chips.
Using exponential smoothing, Alpha = 0.2, a forecast for second quarter 2016 of 165,000 chips, and the actual production below.
Calculate the forecast for first quarter 2017 and determine the mean absolute deviation.
|
Quarter
|
Memory Chips Produced
|
|
Second Quarter 2016
|
175,000
|
|
Third Quarter 2016
|
142,000
|
|
Fourth Quarter 2016
|
165,000
|
|
First Quarter 2016
|
TBD
|