San Diego State University Operations And Supply Chain Management Assignment Help - Series

Question - Moving averages often are used to identify movements in stock prices. Daily closing prices (in dollars
per share) for SanDisk for August 16, 2002, through September 3, 2002, follow


a. Use a five-day moving average to smooth the time series. Forecast the closing price for September
4, 2002.
b. Use a four-day weighted moving average to smooth the time series. Use a weight of 0.4 for the
most recent period, 0.3 for the next period back, 0.2 for the third period back, and 0.1 for the fourth
period back. Forecast the closing price for September 4, 2002.
c. Use exponential smoothing with a smoothing constant of a = 0.7 to smooth the time series.
Forecast the closing price for September 4, 2002.
d. W hich of the three methods do you p ...Read More refer?Why? ...Read Less

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