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What is the MAD? Washington General Hospital

December 15, 2020

Demand for patient surgery at Washington General Hospital has increased steadily in the past few years, as seen in the following table:

YEAR

OUTPATIENT SURGERIES PERFORMED

1

45

2

50

3

52

4

56

5

58

6

The director of medical services predicted six years ago that demand in year 1 would be 42 surgeries. Using exponential smoothing with a weight of a=0.20, develop forecasts for years 2 through 6. What is the MAD?