Problem 6. (2 points) A moving average is a way to: A. create additional data points B. remove outlier data points C. create a more emotional response to your data D. smooth your data E. none of the above
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Step 1: A moving average is a way to smooth out data by averaging a set of data points. Show more…
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Use the following information to calculate your answers to questions 1 through 7. Consider the following annual series on the number of people assisted by a county's human resources department. Year People (in 100s) 1 22 2 24 3 28 4 24 5 22 6 24 7 20 8 26 9 24 10 28 11 26 Using a smoothing constant of 0.4, what is the exponential smoothing value to be used as forecasts for period 4? Select one: a. 25.70 b. 22.80 c. 24.88 d. 24.53 e. 22.00 Using a smoothing constant of 0.4, what is the exponential smoothing value to be used as forecasts for period 12? Select one: a. 22.80 b. 22.88 c. 24.53 d. 25.50 e. 25.70 Using a smoothing constant of 0.4, what is the Mean Square Error (MSE) for exponential smoothing? Select one: a. 29.40 b. 8.41 c. 18.61 d. 124.31 e. 7.67 When comparing the accuracy of both forecasting techniques (3-year moving average and exponential smoothing with a 0.4 smoothing constant), we can conclude that Select one: a. no conclusion can be drawn—the two models are not comparable. b. exponential smoothing is more accurate since its MSE is larger than that of the 3-year moving average. c. the 3-year moving average is more accurate since its MSE is less than that of exponential smoothing. d. the 3-year moving average is more accurate since its MSE is larger than that of exponential smoothing. e. exponential smoothing is more accurate since its MSE is less than that of the 3-year moving average.
Adi S.
In the measurement of secular trend, the moving averages a) smooth out the time series b) give the trend in a straight line c) measure the seasonal variations d) none of the above
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