A long-time independent bank merged with another bank in 2006. Their year-end financial reports for the final five years of independent operation give the values to the right for their liquid assets. a) Use a 3-year moving average to predict what liquid assets would have been in 2006. b) Predict the value for 2006 using a single exponential smooth with smoothing parameter α = 0.3, beginning with the initial value. $M (Round to the nearest integer as needed.) b) SM (Round to the nearest integer as needed.) Year 2001 2002 2003 2004 2005 Liquid Assets (SM) 17,328 22,220 21,034 20,660 26,162
A long-time independent bank merged with another bank in 2006. Their year-end financial reports for the final five years of independent operation give the values to the right for their liquid assets. a) Use a 3-year moving average to predict what liquid assets would have been in 2006. b) Predict the value for 2006 using a single exponential smooth with smoothing parameter α = 0.3, beginning with the initial value. $M (Round to the nearest integer as needed.) b) SM (Round to the nearest integer as needed.) Year 2001 2002 2003 2004 2005 Liquid Assets (SM) 17,328 22,220 21,034 20,660 26,162
MATLAB: An Introduction with Applications
6th Edition
ISBN:9781119256830
Author:Amos Gilat
Publisher:Amos Gilat
Chapter1: Starting With Matlab
Section: Chapter Questions
Problem 1P
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![**Predicting Future Liquid Assets of an Independent Bank (Pre-Merger)**
In 2006, a long-time independent bank merged with another bank. Below are the year-end financial reports for the last five years of its independent operations, focusing on the liquid assets.
| Year | Liquid Assets ($M) |
|------|--------------------|
| 2001 | 17,328 |
| 2002 | 22,220 |
| 2003 | 21,034 |
| 2004 | 20,660 |
| 2005 | 26,162 |
**Tasks:**
a) **Three-Year Moving Average Prediction:**
- Calculate the three-year moving average to estimate what the liquid assets would have been in 2006.
b) **Single Exponential Smoothing Prediction:**
- Predict the 2006 liquid assets using a single exponential smoothing method with a smoothing parameter $\alpha = 0.3$, starting with the initial value.
---
**Solutions:**
a) [ ] $M
*(Round to the nearest integer as needed.)*
b) [ ] $M
*(Round to the nearest integer as needed.)*](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F9de62490-29a1-4126-ad53-0c4c5fc3af72%2F1ebcff61-cab7-4200-aebe-01d59da244ee%2Fh8b5kj_processed.png&w=3840&q=75)
Transcribed Image Text:**Predicting Future Liquid Assets of an Independent Bank (Pre-Merger)**
In 2006, a long-time independent bank merged with another bank. Below are the year-end financial reports for the last five years of its independent operations, focusing on the liquid assets.
| Year | Liquid Assets ($M) |
|------|--------------------|
| 2001 | 17,328 |
| 2002 | 22,220 |
| 2003 | 21,034 |
| 2004 | 20,660 |
| 2005 | 26,162 |
**Tasks:**
a) **Three-Year Moving Average Prediction:**
- Calculate the three-year moving average to estimate what the liquid assets would have been in 2006.
b) **Single Exponential Smoothing Prediction:**
- Predict the 2006 liquid assets using a single exponential smoothing method with a smoothing parameter $\alpha = 0.3$, starting with the initial value.
---
**Solutions:**
a) [ ] $M
*(Round to the nearest integer as needed.)*
b) [ ] $M
*(Round to the nearest integer as needed.)*
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