The initial estimate of trend is based on the net change of


Problem

After plotting demand for four periods, an emergency room manager has concluded that a trend-adjusted exponential smoothing model is appropriate to predict future demand.

The initial estimate of trend is based on the net change of 30 for the three periods from 1 to 4, for an average of +10 units.

Period Actual Period Actual
1 209 6 270
2 225 7 278
3 227 8 287
4 239 9 292
5 255 10

Use a=.5 and ß=.1, and TAF of 250 for period 5. Obtain forecasts for periods 6 through 10. (Round your intermediate calculations and final answers to 2 decimal places.)

t Period      TAFt
6
7
8
9
10

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Operation Management: The initial estimate of trend is based on the net change of
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