Business, 01.02.2021 21:10 haileysolis5

Lenovo uses theâ€‹ ZX-81 chip in some of its laptop computers. The prices for the chip during the last 12 months were asâ€‹ follows: Month Price Per Chip Month Price Per Chip
January $1.80 July 1.80
February 1.67 August 1.83
March 1.70 September 1.70
April 1.85 October 1.65
May 1.90 November 1.70
June 1.87 December 1.75

a. Use a 2-month moving average on all the data and plot the averages and the prices.
b. Use a three-month moving average and add the three-month plot to the graph created in part (a).
c. Which is better (using the mean absolute deviation): The 2-month average or the 3-month average?
d. Compute the forecasts for each month using exponential smoothing, with an initial forecast for January of $1.80. Use Î±=0.1, then Î±=0.3, and finally Î±=0.5. Using MAD, which Î± is the best?

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Lenovo uses theâ€‹ ZX-81 chip in some of its laptop computers. The prices for the chip during the la...

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