Business finance forecasting with excel
Model 1: Moving Average Smoothing
This model uses an average of the past few observations in order to predict future values.
Model 2: Weighted Moving Average Smoothing
This model weights recent data more heavily than older information in order to give a better prediction.
Model 3: Exponential Smoothing
This model assigns exponentially decreasing weights to older data points, giving less importance and impact to outdated information.
Model 4: Holt-Winters Method
This method is a combination of exponential smoothing and moving averages that incorporates both trend and seasonality into its predictions.