53Can you help me find MSE in this chart? Canton Supplies, Inc., is a service firm that employs approximately 100 people. Because of the necessity of meeting monthly cash obligations, the chief financialofficer wants to develop a forecast of monthly cash requirements. Because of a recent change in equipment and operating policy, only the past seven months ofdata are considered relevant. The change in operations has had a great impact on cash flow. What forecasting model do you recommend? Use the MovingAverage and Exponential Smoothing Excel templates or other Excel tools to help you answer this question.The 4-month moving averageMonth1234model is the best.CashRequired($1,000)190212218260Find the best number of months to use in a moving average forecast based on MSE. Do not round intermediate calculations. Round your answers to two decimalplaces.Number of months23Month5674CashRequired($1,000)230240200MSE221750.5XX

Here, For each month, I have been given the cash required, next, I would use a specific forecasting…

Find the best number of months to use in a moving average forecast based on MSE. Do not round intermediate calculations. Round your answers to two decimal places. Number of months 2 3 4 MSE 22 17 50.5

Find the best number of months to use in a moving average forecast based on MSE. Do not round intermediate calculations. Round your answers to two decimal places. Number of months 2 3 4 MSE 22 17 50.5

Practical Management Science

6th Edition

ISBN:9781337406659

Author:WINSTON, Wayne L.

Publisher:WINSTON, Wayne L.

Chapter13: Regression And Forecasting Models

Section: Chapter Questions

Problem 42P: The file P13_42.xlsx contains monthly data on consumer revolving credit (in millions of dollars)...

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Question

Can you help me find MSE in this chart?

Canton Supplies, Inc., is a service firm that employs approximately 100 people. Because of the necessity of meeting monthly cash obligations, the chief financial
officer wants to develop a forecast of monthly cash requirements. Because of a recent change in equipment and operating policy, only the past seven months of
data are considered relevant. The change in operations has had a great impact on cash flow. What forecasting model do you recommend? Use the Moving
Average and Exponential Smoothing Excel templates or other Excel tools to help you answer this question.
The 4-month moving average
Month
1
2
3
4
model is the best.
Cash
Required
($1,000)
190
212
218
260
Find the best number of months to use in a moving average forecast based on MSE. Do not round intermediate calculations. Round your answers to two decimal
places.
Number of months
2
3
Month
5
6
7
4
Cash
Required
($1,000)
230
240
200
MSE
22
17
50.5
XX

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