This is the data for the questions I copied it from an excel

This is the data for the questions. I copied it from an excel file. You have 162 monthly values of retails sales of hardware stores (HW) in the US.

a) Estimate and report a linear trend component for the HW time series using the ordinary least squares (OLS) technique.

b) Compute a seasonal index using a 12 month centered moving average fo the HW series. Based on your results, would you describe hardware as a seasonal business? Explain.

c) Do an in-sample forecast on Books sales using the multiplicative time series technique (assume the cyclical component is equal to 1 for every month).

d) Use the information contained in the following table to perform a forecast of HW for November and December 2015 using the multiplicative time series technique (Note: you will need to compute a trend comonent for these months using the equation you obtained in a.

t YR MO HW
1 2002 1 1154
2 2002 2 1094
3 2002 3 1292
4 2002 4 1534
5 2002 5 1685
6 2002 6 1600
7 2002 7 1555
8 2002 8 1467
9 2002 9 1322
10 2002 10 1403
11 2002 11 1398
12 2002 12 1458
13 2003 1 1185
14 2003 2 1110
15 2003 3 1338
16 2003 4 1492
17 2003 5 1747
18 2003 6 1670
19 2003 7 1622
20 2003 8 1544
21 2003 9 1492
22 2003 10 1507
23 2003 11 1443
24 2003 12 1524
25 2004 1 1197
26 2004 2 1138
27 2004 3 1421
28 2004 4 1636
29 2004 5 1801
30 2004 6 1736
31 2004 7 1689
32 2004 8 1571
33 2004 9 1535
34 2004 10 1496
35 2004 11 1489
36 2004 12 1591
37 2005 1 1247
38 2005 2 1173
39 2005 3 1445
40 2005 4 1691
41 2005 5 1805
42 2005 6 1776
43 2005 7 1615
44 2005 8 1613
45 2005 9 1575
46 2005 10 1632
47 2005 11 1606
48 2005 12 1703
49 2006 1 1343
50 2006 2 1279
51 2006 3 1554
52 2006 4 1755
53 2006 5 2004
54 2006 6 1877
55 2006 7 1752
56 2006 8 1726
57 2006 9 1598
58 2006 10 1654
59 2006 11 1691
60 2006 12 1750
61 2007 1 1451
62 2007 2 1380
63 2007 3 1710
64 2007 4 1777
65 2007 5 2092
66 2007 6 1965
67 2007 7 1726
68 2007 8 1735
69 2007 9 1589
70 2007 10 1667
71 2007 11 1678
72 2007 12 1739
73 2008 1 1420
74 2008 2 1340
75 2008 3 1539
76 2008 4 1806
77 2008 5 2083
78 2008 6 1968
79 2008 7 1797
80 2008 8 1698
81 2008 9 1611
82 2008 10 1695
83 2008 11 1610
84 2008 12 1677
85 2009 1 1360
86 2009 2 1244
87 2009 3 1517
88 2009 4 1753
89 2009 5 1985
90 2009 6 1788
91 2009 7 1627
92 2009 8 1545
93 2009 9 1480
94 2009 10 1573
95 2009 11 1485
96 2009 12 1649
97 2010 1 1304
98 2010 2 1259
99 2010 3 1553
100 2010 4 1777
101 2010 5 1875
102 2010 6 1761
103 2010 7 1658
104 2010 8 1544
105 2010 9 1494
106 2010 10 1564
107 2010 11 1672
108 2010 12 1741
109 2011 1 1355
110 2011 2 1272
111 2011 3 1539
112 2011 4 1796
113 2011 5 2093
114 2011 6 1977
115 2011 7 1817
116 2011 8 1842
117 2011 9 1688
118 2011 10 1774
119 2011 11 1768
120 2011 12 1800
121 2012 1 1491
122 2012 2 1432
123 2012 3 1799
124 2012 4 2023
125 2012 5 2330
126 2012 6 2035
127 2012 7 1810
128 2012 8 1771
129 2012 9 1606
130 2012 10 1804
131 2012 11 1780
132 2012 12 1753
133 2013 1 1479
134 2013 2 1402
135 2013 3 1595
136 2013 4 1825
137 2013 5 1965
138 2013 6 1844
139 2013 7 1738
140 2013 8 1726
141 2013 9 1604
142 2013 10 1744
143 2013 11 1680
144 2013 12 1730
145 2014 1 1565
146 2014 2 1497
147 2014 3 1757
148 2014 4 1877
149 2014 5 2075
150 2014 6 1925
151 2014 7 1904
152 2014 8 1848
153 2014 9 1797
154 2014 10 1956
155 2014 11 1850
156 2014 12 1931
157 2015 1 1756
158 2015 2 1686
159 2015 3 1994
160 2015 4 2162
161 2015 5 2276
162 2015 6 2144
163 2015 7 2194
164 2015 8 2204.667
165 2015 9 2180.889
166 2015 10 2193.185

Solution

Are you looking for a holt-winters forecast? I am not sure as to what do you mean by HW time-series

However, this video may help if you are looking for holt-winters method.

https://www.youtube.com/watch?v=qpiWJaeJPtA

If you have further doubts or need clarifications, feel free to ask.

This is the data for the questions. I copied it from an excel file. You have 162 monthly values of retails sales of hardware stores (HW) in the US. a) Estimate
This is the data for the questions. I copied it from an excel file. You have 162 monthly values of retails sales of hardware stores (HW) in the US. a) Estimate
This is the data for the questions. I copied it from an excel file. You have 162 monthly values of retails sales of hardware stores (HW) in the US. a) Estimate
This is the data for the questions. I copied it from an excel file. You have 162 monthly values of retails sales of hardware stores (HW) in the US. a) Estimate

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