Daily Spot Exchange Rate, U.S. Dollars per Pound Sterling

t

Date

Rate

1

1-Apr-04

1.8564

2

2-Apr-04

1.8293

3

5-Apr-04

1.8140

4

6-Apr-04

1.8374

5

7-Apr-04

1.8410

6

8-Apr-04

1.8325

7

9-Apr-04

1.8322

8

12-Apr-04

1.8358

9

13-Apr-04

1.8160

10

14-Apr-04

1.7902

11

15-Apr-04

1.7785

12

16-Apr-04

1.8004

Note: Print area is truncated because files is long.

13

19-Apr-04

1.8055

14

20-Apr-04

1.7914

15

21-Apr-04

1.7720

16

22-Apr-04

1.7684

17

23-Apr-04

1.7674

18

26-Apr-04

1.7857

19

27-Apr-04

1.7925

20

28-Apr-04

1.7720

21

29-Apr-04

1.7751

22

30-Apr-04

1.7744

23

3-May-04

1.7720

24

4-May-04

1.7907

25

5-May-04

1.7932

26

6-May-04

1.7941

27

7-May-04

1.7842

28

10-May-04

1.7723

29

11-May-04

1.7544

30

12-May-04

1.7743

31

13-May-04

1.7584

32

14-May-04

1.7572

33

17-May-04

1.7695

34

18-May-04

1.7695

35

19-May-04

1.7827

36

20-May-04

1.7710

37

21-May-04

1.7880

38

24-May-04

1.7908

39

25-May-04

1.8135

40

26-May-04

1.8142

41

27-May-04

1.8369

42

28-May-04

1.8330

Daily Spot Exchange Rate, U.S. Dollars per Pound Sterling Date 13-Apr-84 14-Apr-84 15-Apr-84 16-Apr-84 19-Apr-84 20-Apr-84 21-Apr-84 22-Apr-84 13-May-84 14-May-84 17-May-84 18-May-84 19-May-84 20-May-04 Date 23-Apr-04 26-Apr-84 27-Apr-04 28-Apr-04 29-Apr-04 30-Apr-04 3-May-04 4-May-84 21-May-04 24-May-84 25-May-04 26-May-04 27-May-04 28-May-84 Rate 1.8564 Date Rate Rate 1.7674 1-Apr-04 2-Apr-04 5-Apr-04 6-Apr-04 7-Apr-04 8-Apr-84 9-Apr-04 12-Apr-04 5-May-04 6-May-04 7-May-04 18-May-04 11-May-04 12-May-04 1.8160 1.8293 1.7902 1.7857 1.7785 1.8004 1.7925 1.7720 1.7751 1.8140 1.8374 1.8410 1.8055 1.8325 1.8322 1.7744 1.7914 1.7720 1.7720 1.7907 1.7880 1.8358 1.7684 1.7932 1.7584 1.7941 1.7572 1.7908 1.7842 1.7695 1.8135 1.7723 1.7695 1.8142 1.7544 1.7827 1.8369 1.7743 1.7710 1.8330 Click here for the Excel Data File (b) Perform simple exponential smoothing (using Excel's Data Analysis or other software such as Minitab) using a = .05. 10. .20, and 50. The degree of smoothing varies dramatically as a is increased. (c) Which value of a do you prefer? (Round your answers to 2 decimal places.) (d) is exponential smoothing appropriate for this kind of data? Yes