The accompanying dataset provides the closing prices for four stocks and the stock exchange over 12 days. Complete parts a through c. Use Excel's Data Analysis Exponential Smoothing tool to forecast each of the stock prices using simple exponential smoothing with a smoothing constant of 0.3. (Please show all work involved with the questions) Complete the exponential smoothing forecast model for stock A. (Type integers or decimals rounded to two decimal places as needed.) Date Forecast A 09/03/2010 09/07/2010 ? 09/08/2010 ? 09/09/2010 ? 09/10/2010 ? 09/13/2010 ? 09/14/2010 ? 09/15/2010 ? 09/16/2010 ? 09/17/2010 ? 09/20/2010 ? 09/21/2010 ? Complete the exponential smoothing forecast model for stock B. (Type integers or decimals rounded to two decimal places as needed.) Date Forecast B 09/03/2010 09/07/2010 ? 09/08/2010 ? 09/09/2010 ? 09/10/2010 ? 09/13/2010 ? 09/14/2010 ? 09/15/2010 ? 09/16/2010 ? 09/17/2010 ? 09/20/2010 ? 09/21/2010 ? b. Compute the MAD and MSE for each of the models. Compute the MAD (mean absolute deviation) for each of the models. (Type integers or decimals rounded to two decimal places as needed.) Stock A ? Stock B ? Compute the MSE (mean square error) for each of the models. (Type integers or decimals rounded to two decimal places as needed.) Stock A ? Stock B ? c. Does a smoothing constant of 0.1 or 0.5 yield better results? Select the correct answer below and, if necessary, fill in the answer box to complete the choice. A. A smoothing constant of ? yields better results because the values of MAD and MSE are all lower. (Type an integer or a decimal.) B. A smoothing constant of ? yields better results because the values of MAD and MSE are all higher. (Type an integer or a decimal.) C. Neither 0.1nor 0.5 yield better results because the values of MAD and MSE for α=0.3 are all higher. D. Neither 0.1 nor 0.5 yield better results because the values of MAD and MSE for α=0.3 are all lower. Date A B C D Stock Exchange 09/03/2010 126.58 18.27 21.21 15.44 10539.22 09/07/2010 124.78 18.01 20.71 15.45 10420.74 09/08/2010 125.37 18.01 20.46 15.77 10372.96 09/09/2010 126.34 18.03 20.47 16.02 10367.15 09/10/2010 128.69 17.88 20.64 15.93 10377.41 09/13/2010 130.61 18.67 21.26 16.13 10462.87 09/14/2010 128.48 18.81 21.41 16.04 10566.52 09/15/2010 129.46 18.82 21.76 16.33 10651.19 09/16/2010 129.12 19.14 21.86 16.33 10502.38 09/17/2010 130.36 18.98 22.05 16.42 10564.55 09/20/2010 130.85 18.78 21.97 16.62 10722.37 09/21/2010 132.03 19.25 21.62 16.69 10810.05

The accompanying dataset provides the closing prices for four stocks and the stock exchange over 12 days. Complete parts a through c. Use Excel's Data Analysis Exponential Smoothing tool to forecast each of the stock prices using simple exponential smoothing with a smoothing constant of 0.3. (Please show all work involved with the questions) Complete the exponential smoothing forecast model for stock A. (Type integers or decimals rounded to two decimal places as needed.) Date Forecast A 09/03/2010 09/07/2010 ? 09/08/2010 ? 09/09/2010 ? 09/10/2010 ? 09/13/2010 ? 09/14/2010 ? 09/15/2010 ? 09/16/2010 ? 09/17/2010 ? 09/20/2010 ? 09/21/2010 ? Complete the exponential smoothing forecast model for stock B. (Type integers or decimals rounded to two decimal places as needed.) Date Forecast B 09/03/2010 09/07/2010 ? 09/08/2010 ? 09/09/2010 ? 09/10/2010 ? 09/13/2010 ? 09/14/2010 ? 09/15/2010 ? 09/16/2010 ? 09/17/2010 ? 09/20/2010 ? 09/21/2010 ? b. Compute the MAD and MSE for each of the models. Compute the MAD (mean absolute deviation) for each of the models. (Type integers or decimals rounded to two decimal places as needed.) Stock A ? Stock B ? Compute the MSE (mean square error) for each of the models. (Type integers or decimals rounded to two decimal places as needed.) Stock A ? Stock B ? c. Does a smoothing constant of 0.1 or 0.5 yield better results? Select the correct answer below and, if necessary, fill in the answer box to complete the choice. A. A smoothing constant of ? yields better results because the values of MAD and MSE are all lower. (Type an integer or a decimal.) B. A smoothing constant of ? yields better results because the values of MAD and MSE are all higher. (Type an integer or a decimal.) C. Neither 0.1nor 0.5 yield better results because the values of MAD and MSE for α=0.3 are all higher. D. Neither 0.1 nor 0.5 yield better results because the values of MAD and MSE for α=0.3 are all lower. Date A B C D Stock Exchange 09/03/2010 126.58 18.27 21.21 15.44 10539.22 09/07/2010 124.78 18.01 20.71 15.45 10420.74 09/08/2010 125.37 18.01 20.46 15.77 10372.96 09/09/2010 126.34 18.03 20.47 16.02 10367.15 09/10/2010 128.69 17.88 20.64 15.93 10377.41 09/13/2010 130.61 18.67 21.26 16.13 10462.87 09/14/2010 128.48 18.81 21.41 16.04 10566.52 09/15/2010 129.46 18.82 21.76 16.33 10651.19 09/16/2010 129.12 19.14 21.86 16.33 10502.38 09/17/2010 130.36 18.98 22.05 16.42 10564.55 09/20/2010 130.85 18.78 21.97 16.62 10722.37 09/21/2010 132.03 19.25 21.62 16.69 10810.05

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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Question

The accompanying dataset provides the closing prices for four stocks and the stock exchange over 12 days. Complete parts a through c.

Use Excel's Data Analysis Exponential Smoothing tool to forecast each of the stock prices using simple exponential smoothing with a smoothing constant of 0.3. (Please show all work involved with the questions)

Complete the exponential smoothing forecast model for stock A.

(Type integers or decimals rounded to two decimal places as needed.)

Date	Forecast A
09/03/2010
09/07/2010	?
09/08/2010	?
09/09/2010	?
09/10/2010	?
09/13/2010	?
09/14/2010	?
09/15/2010	?
09/16/2010	?
09/17/2010	?
09/20/2010	?
09/21/2010	?

Complete the exponential smoothing forecast model for stock B.

(Type integers or decimals rounded to two decimal places as needed.)

Date	Forecast B
09/03/2010
09/07/2010	?
09/08/2010	?
09/09/2010	?
09/10/2010	?
09/13/2010	?
09/14/2010	?
09/15/2010	?
09/16/2010	?
09/17/2010	?
09/20/2010	?
09/21/2010	?

b. Compute the MAD and MSE for each of the models.

Compute the MAD (mean absolute deviation) for each of the models.

(Type integers or decimals rounded to two decimal places as needed.)

Stock A		?
Stock B		?

Compute the MSE (mean square error) for each of the models.

(Type integers or decimals rounded to two decimal places as needed.)

Stock A		?
Stock B		?

c. Does a smoothing constant of 0.1 or 0.5 yield better results?

Select the correct answer below and, if necessary, fill in the answer box to complete the choice.

A. A smoothing constant of ? yields better results because the values of MAD and MSE are all lower.

(Type an integer or a decimal.)

B. A smoothing constant of ? yields better results because the values of MAD and MSE are all higher.

(Type an integer or a decimal.)

C. Neither 0.1nor 0.5 yield better results because the values of MAD and MSE for α=0.3 are all higher.

D. Neither 0.1 nor 0.5 yield better results because the values of MAD and MSE for α=0.3 are all lower.

Date	A	B	C	D	Stock Exchange
09/03/2010	126.58	18.27	21.21	15.44	10539.22
09/07/2010	124.78	18.01	20.71	15.45	10420.74
09/08/2010	125.37	18.01	20.46	15.77	10372.96
09/09/2010	126.34	18.03	20.47	16.02	10367.15
09/10/2010	128.69	17.88	20.64	15.93	10377.41
09/13/2010	130.61	18.67	21.26	16.13	10462.87
09/14/2010	128.48	18.81	21.41	16.04	10566.52
09/15/2010	129.46	18.82	21.76	16.33	10651.19
09/16/2010	129.12	19.14	21.86	16.33	10502.38
09/17/2010	130.36	18.98	22.05	16.42	10564.55
09/20/2010	130.85	18.78	21.97	16.62	10722.37
09/21/2010	132.03	19.25	21.62	16.69	10810.05

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