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Answer:
208.82 ; 61.33
Step-by-step explanation:
Given the data:
Year Quarter Profit ($1000s)
1 1 45
1 2 51
1 3 72
1 4 50
2 1 49
2 2 45
2 3 79
2 4 54
3 1 42
3 2 58
3 3 70
3 4 56
The 3 period moving average :
Yr Qtr Profit ($1000s)Pt ____ Ft ____ e=(PT-Ft)²
1 _ 1 ___45 __
1 _ 2 __ 51 __
1 _ 3 __ 72 __
1 _ 4 __ 50 ______________56 ____ 36
2 _ 1 __ 49 ______________57.67__ 75.17
2 _ 2__ 45 ______________57 ____ 144
2 _ 3__ 79 ______________48 ____961
2 _ 4__ 54 ______________57.67 _ 13.47
3 _ 1__ 42 ______________59.33__300.33
3 _2 __ 58 ______________58.33__ 0.11
3 _ 3__ 70 ______________51.33__ 348.57
3 _ 4 __56 ______________56.67__0.45
MSE = Σ(Pt - Ft)² ÷ n
MSE = (36+75.17+144+961+13.47+300.33+0.11+348.57+0.75) ÷ 9
= 208.82
Forecast for next quarter :
(58 + 70 + 56) / 3 = 184 /3 = 61.33
