Question
Weekly income for an online greeting card business, is provided below.Determine, on the basis of minimizing the mean square error, whether a three-period or four-period
Weekly income for an online greeting card business, is provided below.Determine, on the basis of minimizing the mean square error, whether a three-period or four-period simple moving average gives a better forecast.
Week Income
1 980
2 1040
3 1100
4 1020
5 860
6 960
7 1080
8 1360
9 1380
10 1100
Group of answer choices
There is not enough information to determine the answer
The four-period simple moving averages gives a better forecast because it has the smallest MSE
Both the four-period & three-period simple moving averages have the same forecast accuracy in terms of their MSE
The three-period simple moving average gives a better forecast because it has the smallest MSE
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