Using the data below, what is the 2 period moving average forecast for the 3rd week?

Week1, Time Series Value=9.00
Week2, Time Series Value=20.00
Week3, Time Series Value=24.00
Week4, Time Series Value=22.00

1 answer

To calculate the 2-period moving average forecast for the 3rd week, we will use the values from Week 1 and Week 2 since we're forecasting for Week 3.

The 2-period moving average is calculated as follows:

\[ \text{Moving Average} = \frac{\text{Value in Week 1} + \text{Value in Week 2}}{2} \]

Using the values provided:

  • Value in Week 1 = 9.00
  • Value in Week 2 = 20.00

Calculating the moving average:

\[ \text{Moving Average} = \frac{9.00 + 20.00}{2} = \frac{29.00}{2} = 14.50 \]

Thus, the 2-period moving average forecast for the 3rd week is 14.50.