Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

The file contains the daily closing prices of American Express stock for a one-year period. a. Using a span of 3, forecast the price of

The file contains the daily closing prices of American Express stock for a one-year period.
a. Using a span of 3, forecast the price of this stock
for the next trading day with the moving average method. How well does this method with span 3 forecast the known observations in this series?
b. Repeat part a with a span of 10.
c. Which of these two spans appears to be more appropriate? Justify your choice.

DayClosing Price
188.56
288.98
388.49
488.45
587.78
686.77
787.27
887.28
986.51
1086.25
1187.22
1287.92
1388.94
1488.54
1587.84
1687.17
1787.38
1885.64
1987.23
2086.82
2186.41
2284.96
2385.01
2486.29
2586.16
2684.50
2786.54
2885.03
2984.14
3081.96
3181.92
3280.12
3379.44
3481.76
3583.17
3684.79
3783.12
3884.76
3985.54
4085.77
4187.13
4287.46
4387.86
4489.05
4589.95
4690.47
4791.50
4890.67
4991.34
5091.48
5190.83
5290.64
5390.16
5489.77
5589.23
5689.68
5789.60
5889.72
5989.49
6090.13
6190.49
6290.54
6391.50
6491.22
6592.07
6690.34
6790.92
6891.73
6992.63
7092.43
7191.83
7292.20
7390.09
7489.14
7587.36
7689.54
7792.24
7891.97
7992.69
8092.89
8193.14
8293.35
8393.33
8493.33
8592.11
8692.09
8789.66
8887.75
8989.66
9090.93
9189.78
9288.87
9388.60
9486.46
9585.27
9685.43
9786.65
9887.05
9983.78
10083.54
10182.71
10281.82
10381.15
10481.42
10580.12
10681.55
10783.14
10883.02
10984.13
11084.41
11184.38
11285.24
11385.40
11479.91
11577.53
11678.52
11779.22
11877.85
11979.27
12079.73
12180.29
12281.59
12382.66
12481.02
12581.45
12681.33
12780.06
12880.58
12979.74
13079.94
13178.55
13278.89
13380.99
13480.03
13580.93
13680.49
13781.28
13880.97
13982.12
14081.62
14180.80
14279.55
14377.93
14477.42
14577.50
14677.83
14778.64
14879.40
14979.33
15078.04
15178.40
15278.86
15379.29
15478.97
15579.19
15679.45
15780.61
15877.03
15976.94
16076.99
16178.15
16277.86
16377.70
16477.20
16577.20
16676.87
16777.16
16877.39
16977.99
17077.55
17177.56
17278.14
17378.69
17479.40
17578.79
17679.56
17780.45
17879.92
17979.87
18081.06
18180.66
18280.46
18380.95
18479.89
18579.81
18679.79
18779.42
18879.17
18979.69
19080.30
19179.06
19279.09
19378.52
19478.87
19579.89
19680.00
19779.23
19878.95
19979.06
20080.02
20180.47
20279.89
20380.95
20481.06
20580.44
20679.58
20779.58
20877.51
20977.72
21078.40
21178.21
21277.59
21377.55
21475.93
21576.34
21677.31
21778.53
21878.97
21978.54
22078.92
22179.22
22279.30
22378.95
22478.99
22577.01
22675.90
22774.92
22875.11
22975.70
23076.12
23176.06
23275.98
23375.72
23475.59
23575.00
23679.72
23781.26
23881.34
23981.00
24080.76
24180.91
24281.00
24381.24
24480.95
24578.76
24677.03
24774.65
24873.52
24975.63
25076.88
25176.65
25276.72
25374.00

 

Step by Step Solution

3.47 Rating (147 Votes )

There are 3 Steps involved in it

Step: 1

a using Minitab go to stat time series moving average select closing pric... blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Data Analysis And Decision Making

Authors: Christian Albright, Wayne Winston, Christopher Zappe

4th Edition

538476125, 978-0538476126

More Books

Students also viewed these Operating System questions

Question

Explain the origins of heart sounds.

Answered: 1 week ago

Question

=+b. What is the probability that a traveler is free of errors?

Answered: 1 week ago

Question

=+a. Verify that Pd(c ) 5 .5.

Answered: 1 week ago