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5-41(b). The following table provides the Dow Jones Industrial Average (DJIA) opening index value on the first working day of 19942013. Develop a trend line

5-41(b). The following table provides the Dow Jones Industrial Average (DJIA) opening index value on the first working day of 19942013. Develop a trend line and use it to predict the opening DJIA index value for years

  1. 2014,
  2. 2015, and
  3. 2016.

YEAR

DJIA

1994

3,754

1995

3,834

1996

5,117

1997

6,448

1998

7,908

1999

9,213

2000

11,502

2001

10,791

2002

10,022

2003

8,342

2004

10,453

2005

10,784

2006

10,718

2007

12,460

2008

13,262

2009

8,772

2010

10,431

2011

11,577

2012

12,392

2013

13,104

(b): Using the data from this problem (years 1994-2013), calculate 3 month average forecast and then calculate the MSE for this model. The MSE is:

Question 6 options:

1,532,843

1,601,226

1,497,394

1,568,511

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