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The Table Below Shows the Closing Daily Stock Prices for Kyopera

Question 4

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The table below shows the closing daily stock prices for Kyopera Corporation for September 2 through September 5, 2016, as well as 4-day moving average, 2-day moving average and naïve forecasts. Calculate the MAD and MSE for each of the three types of forecasts. Which is the best?
The table below shows the closing daily stock prices for Kyopera Corporation for September 2 through September 5, 2016, as well as 4-day moving average, 2-day moving average and naïve forecasts. Calculate the MAD and MSE for each of the three types of forecasts. Which is the best?

Correct Answer:

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MAD (4-Period MA) = 1.59
MAD (...

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