The number of cases of merlot wine sold by the Connor Owen winery in an eight-year period is as follows:
YEAR CASES OF
MERLOT WINE YEAR CASES OF
MERLOT WINE
2002 270 2006 358
2003 356 2007 500
2004 398 2008 410
2005 456 2009 376
Required:
Using an exponential smoothing model with an alpha value of 0.20, estimate the smoothed value calculated as of the end of 2009. Use the average demand for 2002 through 2004 as your initial forecast, then smooth the forecast forward to 2009. (Round your answer to 2 decimal places.)