When you are using exponential smoothing equation, how do you get the first forecast value when...

Question

Question

When you are using exponential smoothing equation, how do you get the first forecast value when one is not provided?

business Operations-Management

Answer 1

Answer #1

A1, A2, A3... An are the actuals value of the first period, second period, third period,....n period respectively.

F1, F2, F3.....Fn are the forecast value of the first period, second period, third period..... n period respectively.

So, in case the first forecast value is not provided.

A1 should be taken as F1

So, A1 = F1.

Answer 2

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