The accompanying dataset provides the closing prices for four stocks and the stock exchange over 12 days. Complete parts a through c. Use​ Excel's Data Analysis Exponential Smoothing tool to forecast...


The accompanying dataset provides the closing prices for four stocks and the stock exchange over 12 days. Complete parts a through c.



Use​ Excel's Data Analysis Exponential Smoothing tool to forecast each of the stock prices using simple exponential smoothing with a smoothing constant of 0.3.(Please show all work involved with the questions)


Complete the exponential smoothing forecast model for stock A.

​(Type integers or decimals rounded to two decimal places as​ needed.)


























































Date


Forecast A


09/03/2010




09/07/2010


?

09/08/2010



?


09/09/2010


?

09/10/2010


?

09/13/2010


?

09/14/2010


?

09/15/2010


?

09/16/2010


?

09/17/2010


?

09/20/2010


?

09/21/2010


?



Complete the exponential smoothing forecast model for stock B.

​(Type integers or decimals rounded to two decimal places as​ needed.)


























































Date


Forecast B


09/03/2010




09/07/2010


?

09/08/2010


?

09/09/2010


?

09/10/2010


?

09/13/2010


?

09/14/2010


?

09/15/2010


?

09/16/2010


?

09/17/2010


?

09/20/2010


?

09/21/2010


?




b. Compute the MAD and MSE for each of the models.


Compute the MAD​ (mean absolute​ deviation) for each of the models.

​(Type integers or decimals rounded to two decimal places as​ needed.)
















Stock A




?

Stock B




?



Compute the MSE​ (mean square​ error) for each of the models.

​(Type integers or decimals rounded to two decimal places as​ needed.)
















Stock A




?

Stock B




?




c. Does a smoothing constant of 0.1 or 0.5 yield better​ results?


Select the correct answer below​ and, if​ necessary, fill in the answer box to complete the choice.






A. A smoothing constant of ? yields better results because the values of MAD and MSE are all lower.


​(Type an integer or a​ decimal.)






B. A smoothing constant of ? yields better results because the values of MAD and MSE are all higher.


​(Type an integer or a​ decimal.)






C. Neither 0.1nor 0.5 yield better results because the values of MAD and MSE for α=0.3 are all higher.





D. Neither 0.1 nor 0.5 yield better results because the values of MAD and MSE for α=0.3 are all lower.
















































































































DateABCDStock Exchange
09/03/2010126.5818.2721.2115.4410539.22
09/07/2010124.7818.0120.7115.4510420.74
09/08/2010125.3718.0120.4615.7710372.96
09/09/2010126.3418.0320.4716.0210367.15
09/10/2010128.6917.8820.6415.9310377.41
09/13/2010130.6118.6721.2616.1310462.87
09/14/2010128.4818.8121.4116.0410566.52
09/15/2010129.4618.8221.7616.3310651.19
09/16/2010129.1219.1421.8616.3310502.38
09/17/2010130.3618.9822.0516.4210564.55
09/20/2010130.8518.7821.9716.6210722.37
09/21/2010132.0319.2521.6216.6910810.05







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Jun 08, 2022
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