Case-1 (Calculate down to the three decimal points)
Due; September 19 at 11:55 p.m.
The file Case-1- data contains data for problems 1 and 2.
Problem 1: Use the Problem-1 data to answer the following questions (15 points)
a. What is the forecast for January of the year 2020 using Holt’s method
  0.1 and   0.5 ? (4 points)
b. Use Solver to estimate the optimal value of smoothing constants (  , and  ) that
minimize MSE and evaluate the MSE based on the optimal value of  , and  .
MSE =
(4 points)
c. What is the forecast for June of the year 2020 using Holt’s method based on the
optimal value  , and  ? (4 points)
d. Comment on the appropriateness of this forecasting method (Explain). (2 points)
Answer: (a) 2870.763
(b) 100.967
(c) 3036.204
(d) The data plot shows an increasing trend.
Question 2: Use the Problem-2 data to answer the following questions (20 points).
a. What is the forecast for quarter 1 of the year 2018? (4 points)
b. What is the forecast from quarter 1 to quarter 4 of the year 2023 (16 points)
Year 2023
Forecast
Answer: (a) 2320.45
(b)
Year 2023
Forecast
Q1
Q1
8830.83
Q2
Q2
7571.03
Q3
Q3
8143.231
Q4
Q4
14168.231