Question

Passenger miles flown on Northeast Airlines, a commuter firm serving the Boston hub, are as

follows for the past 12 weeks:

WEEK ACTUAL PASSENGER MILES (1,000S)

1            17

2            21

3            19

4            23

5            18

6            16

7            20

8            18

9            22

10         20

11         15

12         22

Assuming an initial forecast for week 1 of 17,000 miles, use exponential smoothing to

compute miles for weeks 2 through 12. Use α = 0.2.

What is the MAD for this model?

Compute the RSFE and tracking signals. Are they within acceptable limits?

PLEASE ANSWER THE RSFE question Thank you

Answer 1

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