Question: 1 . Using the following methods forecast for all possible periods. Provide the report with appropriate interpretations for each forecast and show the graph of

1. Using the following methods forecast for all possible periods. Provide the report with appropriate interpretations for each forecast and show the graph of actual and forecast (5 points)
a. Moving average (n=3)(1 point)
b. Exponential Smoothing (alpha =0.6)(1 point)
c. Linear trend (trend projection)(1 point)
d. Linear regression (2 points)
2. Discuss which method fits best for the banks strategic plan to forecast the number of new accounts. You need to justify the selection of one method over another (3 points).
3. Do you think that the exclusion of a part of data (for example, the first 5-10 years) would affect the accuracy of the forecast? Briefly explain. Would such exclusion change your choice of the forecasting method in Question 2? Briefly explain (2 points).

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer
Step: 1 Unlock blur-text-image
Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock
Step: 3 Unlock

Students Have Also Explored These Related General Management Questions!