Answered step by step
Verified Expert Solution
Question
1 Approved Answer
a. Using a weight of 1/2 for the most recent observation, 1/3 for the second most recent, and 1/6 for third most recent, compute a
a. Using a weight of 1/2 for the most recent observation, 1/3 for the second most recent, and 1/6 for third most recent, compute a three-week weighted moving average for the time series. Use rounded for two decimal places values for intermediate calculations. Use minus sign for negative values. Weighted Moving Average Forecast Forecast Error (Error)? Week Sales 1 17 2 24 3 20 4 25 20.83 4.17 17.36 X 5 19 23.17 -4.17 17.36 x 6 18 21.17 -3.17 10.03 x 7 21 19.50 1.50 2.25 8 17 19.67 -2.67 7.11 x 9 22 18.50 3.50 12.25 10 20 20.17 -0.17 0.03 11 13 20.17 -7.17 51.36 X 12 21 16.38 X -4.17 X 17.36 X Total 135.11 x b. Compute the MSE for the weighted moving average in part a. Do you prefer this weighted moving average to the unweighted moving average? Remember that the MSE for the unweighted moving average is 10.22. Round your answer to two decimal places. MSE = 15.01 x
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started