The values of Alabama building contracts (in millions of dollars) for a 12-month period are as follows.

240 350 230 260 280 320 220 310 240 310 240 230

(a) Make a Line chart for data above.

What type of pattern exists in the data?- Horizontal Pattern OR Trend Pattern

(b) Compare a three-month moving average forecast with an exponential smoothing forecast for= 0.2. Which provides the better forecasts based on MSE? Do not round your interim computations and round your final answers to two decimal places.

Three-Month Exponential

Moving Average smoothing

MSE ______________ ______________

Three-Month Moving Average -OR- Exponential Smoothing

(c)What is the forecast for the next month using exponential smoothing with= 0.2?If required, round your answer to two decimal places. ________________________________

What type of pattern exists in the data?- Horizontal Pattern OR Trend Pattern

* Can you please explain how you got the answer.