Question: Consider the linear trend model with seasonality. This model is based on the assumptions that the series ________ t as a predictor, ________ t 2

Consider the linear trend model with seasonality. This model is based on the assumptions that the series

________ t as a predictor,

________t2 as a predictor,

_______ d1-d3 as three predictors, and

_______ t as noise.

Question 2

  1. (10 pts) A warehouse wants to forecast the number of orders that will arrive each day. Shown below is order volume for the past 5 days.

Day 1

412

Day 2

429

Day 3

440

Day 4

463

Day 5

487

Use Excel to construct a 2-period moving average series for making forecasts.

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