Consider the following time series data: 1 2 3 4 24 12 20 12 Month Value 5 6 7 18 22 15 (a) Compute MSE using the most recent value as the forecast for the next period. If required, round your answer to one decimal place. What is the forecast for month 8? If required, round your answer to one decimal place. Do not round intermediate calculation. 15.0 (b) Compute MSE using the average of all the data available as the forecast for the next period. If required, round your answer to one decimal place. Do not round intermediate calculation. What is the forecast for month 8? If required, round your answer to one decimal place. (c) Which method appears to provide the better forecast? All data average
Consider the following time series data: 1 2 3 4 24 12 20 12 Month Value 5 6 7 18 22 15 (a) Compute MSE using the most recent value as the forecast for the next period. If required, round your answer to one decimal place. What is the forecast for month 8? If required, round your answer to one decimal place. Do not round intermediate calculation. 15.0 (b) Compute MSE using the average of all the data available as the forecast for the next period. If required, round your answer to one decimal place. Do not round intermediate calculation. What is the forecast for month 8? If required, round your answer to one decimal place. (c) Which method appears to provide the better forecast? All data average
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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![**Time Series Data Analysis**
Consider the following time series data:
| Month | 1 | 2 | 3 | 4 | 5 | 6 | 7 |
|-------|----|----|----|----|----|----|----|
| Value | 24 | 12 | 20 | 12 | 18 | 22 | 15 |
**(a) Forecast Using the Most Recent Value**
- **Compute MSE**: Use the most recent value as the forecast for the next period.
- *[Input Box]*
- **Forecast for Month 8**:
- The forecast value is **15.0**.
**(b) Forecast Using the Average of All Data**
- **Compute MSE**: Use the average of all the data available as the forecast for the next period.
- *[Input Box]*
- **Forecast for Month 8**:
- *[Input Box]*
**(c) Best Forecasting Method**
Which method appears to provide the better forecast?
- *All data average* [Dropdown Selection]
This provides an interactive exercise in time series analysis, focusing on Mean Squared Error (MSE) computations and forecasting accuracy using different methods.](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F67654518-8dc0-4927-a3ed-5b0a113d7fbc%2Fb30e5080-17e9-4b69-bc32-49a19c4f5c12%2Fa9q8i_processed.png&w=3840&q=75)
Transcribed Image Text:**Time Series Data Analysis**
Consider the following time series data:
| Month | 1 | 2 | 3 | 4 | 5 | 6 | 7 |
|-------|----|----|----|----|----|----|----|
| Value | 24 | 12 | 20 | 12 | 18 | 22 | 15 |
**(a) Forecast Using the Most Recent Value**
- **Compute MSE**: Use the most recent value as the forecast for the next period.
- *[Input Box]*
- **Forecast for Month 8**:
- The forecast value is **15.0**.
**(b) Forecast Using the Average of All Data**
- **Compute MSE**: Use the average of all the data available as the forecast for the next period.
- *[Input Box]*
- **Forecast for Month 8**:
- *[Input Box]*
**(c) Best Forecasting Method**
Which method appears to provide the better forecast?
- *All data average* [Dropdown Selection]
This provides an interactive exercise in time series analysis, focusing on Mean Squared Error (MSE) computations and forecasting accuracy using different methods.
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Step 1: Determine the given variables.
VIEWStep 2: Find the MSE using most recemt value as forecast for next period. Also, give forecast for month 8.
VIEWStep 3: Find the MSE using average of all available data value as forecast for next period. Also find F8
VIEWStep 4: State which method provides better forecast.
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