Question: Consider the time series data shown in Table E4.1. a. Make a time series plot of the data. b. Use simple exponential smoothing with A

Consider the time series data shown in Table E4.1.

a. Make a time series plot of the data.

b. Use simple exponential smoothing with A = 0.2 to smooth the first 40 time periods of this data. How well does this smoothing procedure work?

c. Make one-step-ahead forecasts of the last I 0 observations. Determine the forecast errors.

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