Question

 In a forecasting situation exponential smoothing with a smoothing constant $\alpha$=0.2 is to be used . If the demand for n^th period is 500 and the actual demand for the corresponding period turned out to be 450 what is the forcecast for the (n +1)^th period?                                   (a) 450                            (b) 470

(c) 490                            (d) 500