A. Given an alpha of 0.

10, the exponentially smoothed forecast for the 25

th
week is 46.91.


B. Given the same data, changing the alpha to 0.60 will result to an exponentially smoothed
forecast of 57.60 for the 25
th
week.


C. Given that the actual number of calls in the 25
th
week is 85, a smoothing constant of 0.6
and above, provides a superior forecast since it is much closer to 85.

To further illustrate this, an additional computation of exponential smoothing with an
alpha of 1.0 is shown below. As we may observe on the table, the higher the smoothing
constant, the closer is our forecast value for the 25
th
week to the actual number of calls
in the same week.