Question: Problem 3. Suppose we have access to the sales data of a clothing store for the past 10 months as follows: Part a) Please forecast
Problem 3. Suppose we have access to the sales data of a clothing store for the past 10 months as follows: Part a) Please forecast the sales for the next month (i.c., Month 11) using Naive Approach, Linear Regression, Moving Average (n=4), Weighted Moving Average (n=4 and , and weights of 0.4,0.3,0.2, and 0.1 to the most recent, second most recent, third most recent and fourth most recent quarters, respectively) Exponential Smoothing (alpha equal to 0.3 and forecast for period 1 equal to 200 ) Part b) Please forecast the sales for the period of month 5 to 10 using Naive Approach, Linear Regression, Moving Average, Weighted Moving Average, and Exponential Smoothing and then compare the performance of these methods using MAD, MAPE and MSE for their prediction accuracy between period 5 to 10
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