Question

A stock price has been recorded over the past 10 days.  Determine the Mean Squared Error (MSE) over periods four to ten (inclusive) for a Weighted Moving Average (WMA) forecast using weights of 0.5, 0.4, 0.1 (with 0.5 applying to the most recent period).

Day	Demand
1	1,042
2	1,042
3	1,044
4	1,029
5	1,025
6	1,050
7	1,069
8	1,048
9	1,063
10	1,057

	a.	11.85
	b.	82.97
	c.	179.94
	d.	267.9

Answer 1