Using the data from exercise 23, estimate (a) a linear trend model with seasonal dummies, and (b)
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Using the data from exercise 23, estimate (a) a linear trend model with seasonal dummies, and (b) an exponential trend model with seasonal dummies. Which of the two models has a lower MSE and MAD? Use the appropriate model to make forecasts for the next two months.
Data From Exercise 23
Year.............. Month............. Sales
1 .......................Jan.............. 345
1 .......................Feb............. 322
⋮ ...........................⋮...................... ⋮
5....................... Dec......... 10,745
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Related Book For
Business Statistics Communicating With Numbers
ISBN: 9780078020551
2nd Edition
Authors: Sanjiv Jaggia, Alison Kelly
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