Question

if x(t) and f(t) are actual value and forecasted value respectively and a is the smoothing coefficient in exponential smoothing technique then what will be the formula?​

Answer 1

Answer: The relation between forecasted value and  actual value is given as $f(t+1) = ax(t) + (1-a)f(t)$

Step-by-step explanation:

Forecasting refers to predicting the future value of a given parameter.

Future value is predicted using analyzing the data collected in past.

One of the methods of forecasting is known as exponential smoothing method.

In the exponential smoothing method, next forecast value ( f(t+1) ) is given in terms of the current actual value ( x(t) ) and forecasted value ( f(t) ) by the following expression :

$f(t+1) = ax(t) + (1-a)f(t)$ ,  a ⇒ smoothing coefficient

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Answer 2

Answer:

f(t+1) = ax(t) + (1 - a)f(t)

Step-by-step explanation:

Let forecast value = f(t) and actual value = x(t)

In forecasting, we try to predicted some future value using analyzing the data of past.

Exponential smoothing method is one of method of forecasting.

In this method forecast values at any time t+1 i.e f(t+1) is given in terms of forecast value at time t f(t) and actual value at t x(t) by the expression:

f(t+1) = ax(t) + (1 - a)f(t)

where a is smoothing coefficient

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