The figures below indicate the number ofmergers thattookplace in thesavings andloanindustryover a12-year period.
Year | Mergers | Year | Mergers |
2000 | 46 | 2006 | 83 |
2001 | 46 | 2007 | 123 |
2002 | 62 | 2008 | 97 |
2003 | 45 | 2009 | 186 |
2004 | 64 | 2010 | 225 |
2005 | 61 | 2011 | 240 |
- Calculate a 5-year moving average to forecast the number ofmergers for 2012.
- Use the moving average technique to determine the forecast for 2005 to 2011. Calculate measurement error using MSE and MAD.
- Calculate a 5-year weighted moving average to forecast the number ofmergers for 2012. Use weights of 0.10, 0.15, 0.20, 0.25, and 0.30,with the most recent year weighted being the largest.
- Use regression analysis to forecast the number ofmergers in 2012.