Use linear regression to forecast values for periods 11 to 13 for the following time series. Period 1 2 3 4 5 6 7 8 9 10 Observation 121 133 142 150 159 167 185 187 192 208 A- Use simple averages to forecast values for the data. Which method gives better results? B- Use a 4-period moving average to forecast values for the data.
Added by Christina L.
Step 1
To do this, we need to calculate the sum of the periods (Σt), the sum of the observations (Σy), the sum of the product of the periods and observations (Σty), and the sum of the squared periods (Σt^2). Period (t) | Observation (y) | t*y | Show more…
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