The Carbondale Hospital is considering the purchase of a new ambulance. The decision will rest partly on the anticipated mileage to be driven next year. The miles driven during the past 5 years are as follows;
Year Mileage
1 3,000
2 4,000
3 3,400
4 3,800
5 3,700
Compute the forecast for year 6 using exponential smoothing with α=.1 and α =.5. The initial forecast for year 1 is 2500.
Which forecast is more accurate using the concept of MAPE?