Using the Simple Moving Average OR Weight moving average calculate sales forcast for the next period. 2. Comment on the appropriateness of this method
1. Using the Simple Moving Average OR Weight moving average calculate sales forcast for the next period.
2. Comment on the appropriateness of this method
A 3-period moving average is a type of forecasting technique that can be used to predict the future price of an asset. It is made up of a series of averages that are calculated over a number of periods.
The basic idea behind this technique is that the prices in the recent past are more relevant for predicting future prices than those in the distant past.
The 3-period moving average forecast is based on three time periods:
The most recent time period, which is called "t"
The second most recent time period, which is called "t-1"
And the third most recent time period, which is called "t-2
Step by step
Solved in 3 steps with 2 images
