1. Shoreline Park in Mountain View, California, has kept close tables on the number of patrons

using the park since its opening in January 2015. For the first six months of operation, the

following figures were recorded:

Month

1

2

3

Number of Patrons

133

183

285

Month

4

5

6

Number of Patrons

640

1876

2550

a. Compute the exact values of the intercept a and the slope b from the linear

regressionequations (You can use Excel to compute these numbers).

b. Use a and b as the initial values of slope (trend) and intercept (base level) required in

Holt's method. Assume that a = 0.15, B = 0.10 for all calculations. Suppose that the

actual number of visitors using the part in July was 2150 and the number in August was

2660. Use Holt's method to update the estimates of the slope and intercept based on these

observations.

c. What are the one-step-ahead and two-step-ahead forecasts that Holt's method gives for

the number of part visitors in September and October?