Use the following information for problems 1-3.
Consider following time series data shown in table below:
1. Find out the time period used by data?
2. What is independent variable?
a. crop yield
3. What is 3-year moving average for crop yield?
4. Horace Mann, principal of the Jones Public School, has decided to develop a time series model to obtain the 2- and a 3-period moving average to forecast student enrollments for next term.
Which statement is true concerning the accuracy of each forecast that Horace will obtain?
a. The 2-period forecast will be more accurate than the 3-period forecast.
b. The 3-period forecast will be more accurate than the 2-period forecast.
c. Both forecasts will be equally accurate.
d. Either forecast could be more accurate than the other.
5. Media Company has gathered 15 months of time series data for sales of new product since it was commercialized. Media has decided to apply a 5-month moving average model to the data. How many squared error terms should be summed in order to obtain mean square error (MSE)?