CE Tutorial 4 - Forecasting.pdf CS CamScanner CS CamScanner PER 8E5BCCF5B4FE4510h1AQS9yYUS X + + File | C:/Users/Sean/Downloads/Tutorial%204%20-%20Forecasting.pdf e 1 of 2 a + | OD Page view A Read aloud T Add text | Draw Highlight Erase Erase Moving averages often are used to identify movements in stock prices. Daily closing prices (in dollars per share) for Best Denki Holdings for August 16, 2008, through September 3, 2008, are as follows: Day Price (8) Day Price ($) August 16 14.45 August 26 16.45 August 19 15.75 August 27 15.60 August 20 16.45 August 28 15.09 August 21 17.40 August 29 16.42 August 22 17.32 August 30 16.21 August 23 15.96 September 3 15.22 (a) Use a five-day moving average to smooth the time series. Forecast the closing price for September 4, 2008 and the Mean Square Error (MSE) for this technique. (b) Use exponential smoothing with a smoothing constant of a = 0.7 to smooth the time series. If the forecast for August 19 is 14.45, forecast the closing price for September 4, 2008 and the ME for this technique. Which of the two methods do you prefer? Explain your choice . (c) 18.10 10/02/2022