Question

In: Statistics and Probability

Corporate triple A bond interest rates for 12 consecutive months are as follows: 9.6 9.4 9.5...

Corporate triple A bond interest rates for 12 consecutive months are as follows:

9.6 9.4 9.5 9.7 9.9 9.5 9.8 10.6 10.1 9.9 9.5 9.8

If required, round your answer to two decimal places.

(b) Develop three-month and four-month moving averages for this time series.
If required, round your answers to two decimal places.

Week

Sales
3 Month
Moving Average
4 Month
Moving Average
1 9.6
2 9.4
3 9.5
4 9.7
5 9.9
6 9.5
7 9.8
8 10.6
9 10.1
10 9.9
11 9.5
12 9.8
Enter the Mean Square Errors for the three-month and the four-month moving average forecasts. If needed, round your answers to three decimal digits.
3-month
moving average
4-month
moving average
MSE
c) What is the moving average forecast for the next month?

Solutions

Expert Solution

4 month Forecast:

What is the moving average forecast for the next month?

3 month moving average: 9.73

4 month moving average: 9.83

4 MO:

Formula Ref:


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