1. Given the following data, calculate the three-year moving averages for years 4 through 10.

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Chapter1: Making Economics Decisions
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Can you assist me with problem 19. Please show the process in order to make it easier to follow along. Thank you
The task is to calculate the three-year moving averages for years 4 through 10 using the given data:

| Year | Demand |
|------|--------|
| 1    | 74     |
| 2    | 90     |
| 3    | 59     |
| 4    | 91     |
| 5    | 140    |
| 6    | 98     |
| 7    | 110    |
| 8    | 123    |
| 9    | 99     |

**Explanation for Calculation:**

To find a three-year moving average, we calculate the average demand for each overlapping set of three consecutive years.

**Example Calculation:**

- **Year 4 Moving Average:**
  - Calculate the average of demands for years 1, 2, and 3. 
  - \( (74 + 90 + 59) / 3 = 74.33 \)

- **Year 5 Moving Average:**
  - Calculate the average of demands for years 2, 3, and 4.
  - \( (90 + 59 + 91) / 3 = 80.00 \)

Continue in this manner for subsequent years up to Year 9 for a complete series of moving averages.
Transcribed Image Text:The task is to calculate the three-year moving averages for years 4 through 10 using the given data: | Year | Demand | |------|--------| | 1 | 74 | | 2 | 90 | | 3 | 59 | | 4 | 91 | | 5 | 140 | | 6 | 98 | | 7 | 110 | | 8 | 123 | | 9 | 99 | **Explanation for Calculation:** To find a three-year moving average, we calculate the average demand for each overlapping set of three consecutive years. **Example Calculation:** - **Year 4 Moving Average:** - Calculate the average of demands for years 1, 2, and 3. - \( (74 + 90 + 59) / 3 = 74.33 \) - **Year 5 Moving Average:** - Calculate the average of demands for years 2, 3, and 4. - \( (90 + 59 + 91) / 3 = 80.00 \) Continue in this manner for subsequent years up to Year 9 for a complete series of moving averages.
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