Question: The yield on a general obligation bond for the city of Davenport fluctuates with the market. The monthly quotations for 2002 are given in Table

The yield on a general obligation bond for the city of Davenport fluctuates with the market. The monthly quotations for 2002 are given in Table P-9:

a. Find the forecast value of the yield on the obligation bonds for each month. starting with April, by using a three-month moving average.

b. Find the forecast value of the yield on the obligation bonds for each month. starting with June. by using a five-month moving average.

c. Evaluate these forecasting methods using MAD.

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