The president of a small manufacturing firm is concerned about the continual increase in manufacturing costs over the past several years. The following figures provide a time series of the cost per unit for the firm's leading product over the past eight years. Click on the datafile logo to reference the data. DATA file Year Cost/Unit ($) Year Cost/Unit ($) 1 20.00 26.60 2 24.50 6. 30.00 28.20 7 31.00 4 27.50 36.00 (a) Choose the correct time series plot. (i) 40 (ii) 40 35 35 30 30 25 10 10 5 5 3 4 6 7 8 4 6 7 8 Year (t) Year (t) (iii) 40 (iv) 40 35 35 Cost/Unit ($) Cost/Unit ($)
The president of a small manufacturing firm is concerned about the continual increase in manufacturing costs over the past several years. The following figures provide a time series of the cost per unit for the firm's leading product over the past eight years. Click on the datafile logo to reference the data. DATA file Year Cost/Unit ($) Year Cost/Unit ($) 1 20.00 26.60 2 24.50 6. 30.00 28.20 7 31.00 4 27.50 36.00 (a) Choose the correct time series plot. (i) 40 (ii) 40 35 35 30 30 25 10 10 5 5 3 4 6 7 8 4 6 7 8 Year (t) Year (t) (iii) 40 (iv) 40 35 35 Cost/Unit ($) Cost/Unit ($)
Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
Section: Chapter Questions
Problem 1PS
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FIND (B), (C), AND (E).
Transcribed Image Text:The president of a small manufacturing firm is concerned about the continual increase in manufacturing costs over the past several years. The following figures provide a time series of the
cost per unit for the firm's leading product over the past eight years.
Click on the datafile logo to reference the data.
DATA file
Year Cost/Unit ($)
Year Cost/Unit ($)
1.
20.00
26.60
2.
24.50
6.
30.00
3
28.20
31.00
4
27.50
8
36.00
(a) Choose the correct time series plot.
(i)
(ii)
40
40
35
35
30
30
25
10
10
5
5
1.
3
4
6
7
8
1
3
4
5
6
7
8
Year (t)
Year (t)
(ii)
40
(iv)
40
35
35
30
30
25
E 25
($) yun/as03
Cost/Unit ($)
Transcribed Image Text:(b) Develop three-month and four-month moving averages for this time series.
If required, round your answers to two decimal places.
з
З Month
4 Month
Month
Sales
Moving Average Moving Average
1
9.6
2
9.4
3
9.2
4
9.7
9.40
9.8
9.43
9.48
9.9
9.57
9.53
7
9.7
9.80 O
9.65
8
10.6
9.80
9.78
9
9.9
10.07
10.00
10
9.6
10.07
10.03
11
9.7
10.03
9.95
12
9.5
9.73
9.95
Enter the Mean Square Errors for the three-month and the four-month moving average forecasts. If needed, round your answers to three decimal digits.
3-month
4-month
moving
moving
average
average
MSE
0.170
0.229 8
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