The President of State University Wants to Forecast Student Enrollment $\alpha$

question 29

Multiple Choice

The president of State University wants to forecast student enrollment for this academic year based on the following historical data:
Year :Enrollments
5 years ago :15,000
4 years ago :16,000
3 years ago :18,000
2 years ago :20,000
Last year :21,000
-What is the forecast for this year using exponential smoothing with trend if $\alpha$ = 0 5 and $\beta$ = 0 3? Assume the forecast for last year was 21,000 and the forecast for two years ago was 19,000,and that the trend estimate for last years forecast was 1,500

• A)18,750
• B)19,500
• C)21,000
• D)22,650
• E)22,800

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Definitions:

Gold Futures

Contracts for the future delivery of gold at a specified price, used for hedging and investing purposes.

Arbitrage Profit

The profit made from buying and selling equivalent financial instruments or capitalizing on price differences in different markets to generate a risk-free return.

Risk-free Rate

The theoretical rate of return of an investment with zero risk, typically associated with government bonds.

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A marketplace where parties exchange financial instruments, such as interest rates or currencies.