Purchase Solution

Moving Average Forecast

Not what you're looking for?

Ask Custom Question

The closing value of the AMEX Airline Index for each trading day during a 1-year period is given in the file P13_17.xlsx.
a. How well does the moving average method track this series when the span is 4 days; when the span
is 12 days?
b. Using the more appropriate span, forecast the closing value of this index on the next trading day with
the moving average method.
Then use the StatTools solution provided to answer the following two questions:
? Which is the better predictor - the Four Day Span or the Twelve Day Span?
? Justify your reason for selecting a Four Day or Twelve Day Span.
Instructions
1. It is important that you use the Excel template provided with this assignment to answer this problem

Purchase this Solution

Solution Summary

A 4-Period and a 12-Period Moving Average Forecast has been performed in EXCEL. Further calculations for Forecast Accuracy Measures (Forecast Error, MAD, MAPD) has been shown in Excel for the two different Forecast techniques and the accuracy of the two forecasts has been compared using these calculations.

Solution provided by:
Education
  • MSc, Osmania University
  • MSc, Indian Institute of Technology - Roorkee (I.I.T.-ROORKEE)
  • BSc, Banaras Hindu University
Recent Feedback
  • "Very fast turnaround. Excellent communication! Much appreciated!"
  • "excellent"
  • "excellent"
  • "excellent work"
  • "Fantastic..great solution and very well explained!!!!"
Purchase this Solution


Free BrainMass Quizzes
Measures of Central Tendency

Tests knowledge of the three main measures of central tendency, including some simple calculation questions.

Terms and Definitions for Statistics

This quiz covers basic terms and definitions of statistics.

Measures of Central Tendency

This quiz evaluates the students understanding of the measures of central tendency seen in statistics. This quiz is specifically designed to incorporate the measures of central tendency as they relate to psychological research.

Know Your Statistical Concepts

Each question is a choice-summary multiple choice question that presents you with a statistical concept and then 4 numbered statements. You must decide which (if any) of the numbered statements is/are true as they relate to the statistical concept.