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The Excel file Closing Stock Prices provides data for four stocks and Dow Jones Industrial Average over a one-month period. a. Develop a spreadsheet model
The Excel file Closing Stock Prices provides data for four stocks and Dow Jones Industrial Average over a one-month period. a. Develop a spreadsheet model for forecasting the IBM closing stock prices using simple exponential smoothing with smoothing constants of 0.3 and 0.7. b. Compute MAD, MSE, and MAPE. c. Which smoothing constant (0.3 or 0.7) yield better results
DJ Industrials Date IBM INTC CSCO GE Index 9/3/2010 $127.58 $18.43 $21.04 $15.39 $ 10447.93 9/7/2010 $125.95 $18.12 $20.58 $15.44 10340.69 9/8/2010 $126.08 $17.90 $20.64 $15.70 10387.01 9/9/2010 $126.36 $18.00 $20.61 $15.91 10415.24 9/10/2010 $127.99 $17.97 $20.62 $15.98 10462.77 9/13/2010 $129.61 $18.56 $21.26 $16.25 10544.13 9/14/2010 $128.85 $18.74 $21.45 $16.16 10526.49 9/15/2010 $129.43 $18.72 $21.59 $16.34 10572.73 9/16/2010 $129.67 $18.97 $21.93 $16.23 10594.83 9/17/2010 $130.19 $18.81 $21.86 $16.29 10607.85 9/20/2010 $131.79 $18.93 $21.75 $16.55 10753.62 9/21/2010 $131.98 $19.14 $21.64 $16.52 10761.03 9/22/2010 $132.57 $19.01 $21.67 $16.50 10739.31 9/23/2010 $131.67 $18.98 $21.53 $16.14 10662.42 9/24/2010 $134.11 $19.42 $22.09 $16.66 10860.26 9/27/2010 $134.65 $19.24 $22.11 $16.43 10812.04 9/28/2010 $134.89 $19.51 $21.86 $16.44 10858.14 9/29/2010 $135.48 $19.24 $21.87 $16.36 10835.28 9/30/2010 $134.14 $19.20 $21.90 $16.25 10788.05 10/1/2010 $135.64 $19.32 $21.91 $16.36 10829.68Step by Step Solution
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