Question: please help with as much explanation as possible i will upvote Mr. Mufasa has invested in a science and technology mutual fund. Now he is
please help with as much explanation as possible i will upvote
Mr. Mufasa has invested in a science and technology mutual fund. Now he is considering liquidating and investing in another fund. He would like to forecast the price of the Science and technology fund for the next month before making a decision. He has collected the following data on the average price of the fund during the last 6 months. Month Fund Price 150 130 160 120 140 170 a) Using a 3-month weighted moving average with the most recent month weighted 0.50, the next most recent month weighted 0.30, and the third month weighted 0.20, forecast the fund price through month 7. b) Compute an exponentially smoothed forecast using an a = .40 for these data. c) Compute an adjusted exponentially smoothed forecast (a = 0.40 and = 0.30) for these data. d) Using MAD, determine which one of these three forecasts is more accurate. Please put your answers in the table below. Month Fund WMA3 Ft+1 Tt+1 AFt+1/Dt-FV /DL-FU/Dt-FU Price WMA3Ft+1 Aft+1 1 150 2 130 3 160 120 140 170 123456 456
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