The below graph plots the daily prices of Gold over time.a) Examine the plot and describe the issues that may arise when trying to forecast future Gold prices given this time series data. Offer solutions to these issuesb) Offer a suitable forecasting method for this data. Question 1The below graph plots the daily prices of Gold over time.a) Examine the plot and describe the issues that may arise when trying to forecastfuture Gold prices given this time series data. Offer solutions to these issues.b) Offer a suitable forecasting method for this data.600 -500 -400 -300 -2004006008001000TimePjo6

a) The given plot has the following issues: Very short run data which is quite volatile and…

The below graph plots the daily prices of Gold over time. a) Examine the plot and describe the issues that may arise when trying to forecast future Gold prices given this time series data. Offer solutions to these issues b) Offer a suitable forecasting method for this data.

The below graph plots the daily prices of Gold over time. a) Examine the plot and describe the issues that may arise when trying to forecast future Gold prices given this time series data. Offer solutions to these issues b) Offer a suitable forecasting method for this data.

College Algebra

1st Edition

ISBN:9781938168383

Author:Jay Abramson

Publisher:Jay Abramson

Chapter4: Linear Functions

Section4.3: Fitting Linear Models To Data

Problem 24SE: Table 6 shows the year and the number ofpeople unemployed in a particular city for several years....

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Table 6 shows the year and the number ofpeople unemployed in a particular city for several years. Determine whether the trend appears linear. If so, and assuming the trend continues, in what year will the number of unemployed reach 5 people?
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QUESTION 9 The risk of acquiring a given disease during a time period is best determined by: A. the mortality rate from that disease in the 0-4 age group. B. the incidence rate (cumulative incidence) for that disease in a given period of time. C. a spot map that records all cases of the disease in the past year. D. the period prevalence for that disease during the past year.
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Can you identify a time series from the following? The number of "likes" on Gucci Facebook page for a new handbag, as of now Distance travelled by airline passengers for the top 4 airliners in 1965 Quarterly unemployment rate in Namibia, 2015-2020 Gross Domestic Product per capita of Zimbabwe in 2020
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QUESTION 1 Weekly closing prices (in RM) for Telstra for Sept 2015 - October 2015 is as follows: Week Share Price 1 3.47 2 3.58 3 3.41 4 3.39 5 3.25 6 3.40 7 3.35 8 3.51 9 3.41 10 3.41 Solve: 1. Use a 3 week moving average (SMA) to forecast the price for week 11. 2. Use a 3 week weighted moving average (WMA) to forecast the price for week 11. Use the weight of 3 for the latest period, 2 for the second latest period and 1 for the third latest period. 3. Use the exponential moving average (EMA) forecast to forecast price for week 11. Use α = 0.2 as the smoothing constant. Initial week 1 forecast was 3.47. 4. Which forecast gave the best result? Use MAD to find out. QUESTION 2 Sales of Cool Man air conditioners have grown steadily during the past five years: Year Sales 1 450 2 495 3 518 4 563 5 584 6 ? *The sales manager predicted that year 1 sales would be 450 air conditioners. Solve: 1. Using α = 0.30, develop forecast for year 2…
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Which of the following time series forecasting methods would not be used to forecast seasonal data?
Question 3 The Bank of Canada is interested in studying the relationship between mortgage rates and median home prices. The data is provided below Year interest rate (%) 1988 10.30 1989 10.30 1990 10.10 1991 9.30 1992 8.40 1993 7.30 1994 8.40 1995 7.90 1996 7.60 1997 7.60 1998 6.90 1999 7.40 2000 8.10 2001 7.00 2002 6.50 2003 5.80 2004 5.80 2005 5.80 2006 6.40 2007 6.30 2008 6.00 2009 5.00 2010 4.70 2011 4.40 2012 3.60 2013 4.00 2014 4.10 2015 3.80 2016 3.60 2017 4.00 Median home price $183,800 $183,200 $174,900 $173,500 $172,900 $173,200 $173,200 $169,700 $174,500 $177,900 $188,100 $203,200 $230,200 $258,200 $309,800 $329,800 $431,000 $515,000 $537,000 $496,000 $352,000 $232,000 $291,700 $262,900 $299,200 $321,200 $373,500 $358,100 $382,500 $402,900 a) Estimate a simple linear regression model and find the value of the parameters for the estimation of mortgage rates and the median home price b) Interpret the intercept and the slope coefficients…