Use Solver to Determine the Alpha That Minimizes the MAD

Multiple Choice

Use Solver to determine the alpha that minimizes the MAD for the exponential smoothing forecast for the data that appear in this table.Use the actual demand of period 1 as the forecast for period 2 and then use the forecasts for periods 2 through 9 to calculate MAD. $$\begin{array} { | c | c | } \hline \text { Period } & \text { Demand } \\\hline 1 & 272 \\\hline 2 & 278 \\\hline 3 & 269 \\\hline 4 & 280 \\\hline 5 & 267 \\\hline 6 & 258 \\\hline 7 & 278 \\\hline 8 & 298 \\\hline 9 & 286 \\\hline 10 & 290 \\\hline\end{array}$$

A) 0.36
B) 0.43
C) 0.54
D) 0.62