# Prepare a forecast of sales for each day, starting with F1 = 85 and α = .2.

1. Only a portion of the following table for exponential smoothing has been completed. Complete the missing entries using α = .1. 2. A candy store has sold the following number of pounds of candy for the past three days. Assuming α = .4, complete the following table. 3. A grocery store sells the following number of frozen turkeys during the week prior to Thanksgiving: a. Prepare a forecast of sales for each day, starting with F1 = 85 and α = .2. b. Compute the MAD and the tracking signal in each period. Use MAD0 = 0. c. On the basis of the criteria given in the text, are the MAD and tracking signal within tolerances? d. Recompute parts a and b using α = .1, .3, and .4. Which value of α provides the best forecast?

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