Instruction 14-3
the Number of Cases of Merlot Wine Sold

question 191

Short Answer

Instruction 14-3
The number of cases of merlot wine sold by a Barossa Valley Winery in an eight-year period follows.
$\begin{array}{ll}\text { Year } &\text { Coses of }\\& \text { Wine } \\2003 & 270 \\2004 & 356 \\2005 & 398 \\2006 & 456 \\2007 & 358 \\2008 & 500 \\2009 & 410 \\2010 & 376\end{array}$


-Referring to Instruction 14-3,exponential smoothing with a weight or smoothing constant of 0.2 will be used to smooth the wine sales.The value of E₂,the smoothed value for 2004 is _______.

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Definitions:

Compounded Monthly

The process of calculating interest on both the initial principal and the accumulated interest of previous periods on a monthly basis.

Semi-Annually

A term referring to an event or action that occurs twice a year.

Quarterly

Occurring every three months or four times a year, often referring to financial reporting or dividend payments.

Increases in Value

Situations or circumstances where the value of an asset, investment, or property rises over time.