An investor wanted to forecast the price of a certain stock.He collected the mean daily price for the stock over the past 10 years.Which of the following would be the most appropriate analysis to perform?
A)The Marascuilo Procedure.
B)The Tukey-Kramer Procedure.
C)Least-squares forecasting with monthly or quarterly data.
D)Autoregressive modeling.

Question

Quizplus · Accepted Answer

Since the investor is looking to forecast the price of a stock based on historical data, autoregressive modeling would be the most appropriate analysis to perform. This type of modeling takes into account the past values of the variable being analyzed to predict future values. The other options listed (Marascuilo Procedure, Tukey-Kramer Procedure, and least-squares forecasting) are not designed for this type of analysis.

An Investor Wanted to Forecast the Price of a Certain