Essentials Of Business Analytics
Essentials Of Business Analytics
1st Edition
ISBN: 9781285187273
Author: Camm, Jeff.
Publisher: Cengage Learning,
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Chapter 5, Problem 16P

The following table reports the percentage of stocks in a portfolio for nine quarters:

Chapter 5, Problem 16P, The following table reports the percentage of stocks in a portfolio for nine quarters: a. Construct

  1. a. Construct a time series plot. What type of pattern exists in the data?
  2. b. Use trial and error to find a value of the exponential smoothing coefficient α that results in a relatively small MSE.
  3. c. Using the exponential smoothing model you developed in part (b), what is the forecast of the percentage of stocks in a typical portfolio for the second quarter of year 3?
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