The following are the values of a time series for the first four time periods: $$\begin{array} { | c | c c c c | }
\hline \boldsymbol { t } & 1 & 2 & 3 & 4 \
\hline \boldsymbol { y } _ { \boldsymbol { t } } & 23 & 25 & 28 & 24 \
\hline
\end{array}$$ Using a four-period moving average,the forecasted value for time period 5 is:
A) 25.3
B) 25.7
C) 25.0
D) 26.0

Question

The following are the values of a time series for the first four time periods: $$\begin{array} { | c | c c c c | } 
\hline \boldsymbol { t } & 1 & 2 & 3 & 4 \
\hline \boldsymbol { y } _ { \boldsymbol { t } } & 23 & 25 & 28 & 24 \
\hline
\end{array}$$ Using a four-period moving average,the forecasted value for time period 5 is:
A) 25.3
B) 25.7
C) 25.0
D) 26.0

Quizplus · Accepted Answer

To calculate the four-period moving average, we need to sum up the values for the previous four time periods and divide the total by 4.

For time period 5, the moving average would be:

$(23 + 25 + 28 + 24) / 4 = 25$

Therefore, the forecasted value for time period 5 is 25.0.

The Following Are the Values of a Time Series for the First