Given the Following Data,use Exponential Smoothing (α =

question 102

Multiple Choice

Given the following data,use exponential smoothing (α = .2) to develop a demand forecast for period 3.Assume the forecast for the initial period is 5.What is the forecast?

• A)9.00
• B)3.72
• C)9.48
• D)5.00
• E)6.12

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Definitions:

Opportunity Costs

The expense incurred from not choosing the next most advantageous option during decision-making.

Direct Costs

Costs that can be directly attributed to the production of a specific good or service, such as raw materials and labor.

Marginal Analysis

Evaluation of the extra benefits derived from an activity versus the extra costs it incurs.

Family Business

A commercial organization in which decision-making is influenced by multiple generations of a family.