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Corporate triple A bond interest rates for 12 consecutive months are as follows: 9.7 9.4 9.6 9.8 9.6 9.9 9.9 10.5 9.8 9.5 9.4 9.4
Corporate triple A bond interest rates for 12 consecutive months are as follows:
9.7 | 9.4 | 9.6 | 9.8 | 9.6 | 9.9 | 9.9 | 10.5 | 9.8 | 9.5 | 9.4 | 9.4 |
(a) | Choose the correct time series plot. | ||||||||||||||||||||||||||||||||||||||||||||||||||||
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- Select your answer -Graph (i)Graph (ii)Graph (iii)Graph (iv)Item 1 | |||||||||||||||||||||||||||||||||||||||||||||||||||||
What type of pattern exists in the data? | |||||||||||||||||||||||||||||||||||||||||||||||||||||
- Select your answer -Positive trend patternHorizontal patternVertical patternNegative trend patternItem 2 | |||||||||||||||||||||||||||||||||||||||||||||||||||||
(b) | Develop three-month and four-month moving averages for this time series. | ||||||||||||||||||||||||||||||||||||||||||||||||||||
If required, round your answers to two decimal places. | |||||||||||||||||||||||||||||||||||||||||||||||||||||
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Enter the Mean Square Errors for the three-month and the four-month moving average forecasts. If required, round your answers to three decimal digits. | |||||||||||||||||||||||||||||||||||||||||||||||||||||
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Does the three-month or the four-month moving average provide the better forecasts based on MSE? Explain. | |||||||||||||||||||||||||||||||||||||||||||||||||||||
- Select your answer -3-month moving average4-month moving averageItem 22 | |||||||||||||||||||||||||||||||||||||||||||||||||||||
- Select your answer -Moving average with the lowest MSE provides the better forecast.Moving average with the highest MSE provides the better forecast.Item 23 | |||||||||||||||||||||||||||||||||||||||||||||||||||||
(c) | What is the moving average forecast for the next month? If required, round your answer to two decimal places. |
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