In: Finance
1) How many people were present for the signing of the Declaration of Independence?
a)
b)
c)
Answers to a),b) and c)
year | Demand | 3 MA | weighted average | Exponential alpha = 0.03 |
1 | 4 | 5 | ||
2 | 6 | 4.7000 | ||
3 | 5 | 5.0900 | ||
4 | 5 | 5 | 5 | 5.0630 |
5 | 10 | 5.3333 | 5.25 | 5.0441 |
6 | 9 | 6.6667 | 7.5 | 6.5309 |
7 | 13 | 8 | 8.25 | 7.2716 |
8 | 15 | 10.6667 | 11.25 | 8.9901 |
Formula in Excel
year | Demand | 3 MA | weighted average | Exponential alpha = 0.03 |
1 | 4 | 5 | ||
=1+A2 | 6 | =E2+0.3*(B2-E2) | ||
=1+A3 | 5 | =E3+0.3*(B3-E3) | ||
=1+A4 | 5 | =AVERAGE(B2:B4) | =0.5*B4+0.25*B3+0.25*B2 | =E4+0.3*(B4-E4) |
=1+A5 | 10 | =AVERAGE(B3:B5) | =0.5*B5+0.25*B4+0.25*B3 | =E5+0.3*(B5-E5) |
=1+A6 | 9 | =AVERAGE(B4:B6) | =0.5*B6+0.25*B5+0.25*B4 | =E6+0.3*(B6-E6) |
=1+A7 | 13 | =AVERAGE(B5:B7) | =0.5*B7+0.25*B6+0.25*B5 | =E7+0.3*(B7-E7) |
=1+A8 | 15 | =AVERAGE(B6:B8) | =0.5*B8+0.25*B7+0.25*B6 | =E8+0.3*(B8-E8) |
d)
Using Excel
data -> data analysis -> regression
SUMMARY OUTPUT | |||||
Regression Statistics | |||||
Multiple R | 0.9246 | ||||
R Square | 0.8548 | ||||
Adjusted R Square | 0.8306 | ||||
Standard Error | 1.6744 | ||||
Observations | 8 | ||||
ANOVA | |||||
df | SS | MS | F | Significance F | |
Regression | 1 | 99.0536 | 99.0536 | 35.3312 | 0.0010 |
Residual | 6 | 16.8214 | 2.8036 | ||
Total | 7 | 115.8750 | |||
Coefficients | Standard Error | t Stat | P-value | Lower 95% | |
Intercept | 1.4643 | 1.3047 | 1.1223 | 0.3046 | -1.7281 |
year | 1.5357 | 0.2584 | 5.9440 | 0.0010 | 0.9035 |
Observation | Predicted Demand |
1 | 3 |
2 | 4.5357 |
3 | 6.0714 |
4 | 7.6071 |
5 | 9.1429 |
6 | 10.6786 |
7 | 12.2143 |
8 | 13.75 |