Daily Spot Exchange Rate, U.S. Dollars per Pound Sterling Date Rate Date Rate Date Rate 1-Apr-84 1.8564 13-Apr-04 1.8160 23-Apr-04 1.7674 2-Apr-84 1.8293 14-Apr-04 1.7902 1.7857 26-Apr-84 27-Apr-04 28-Apr-84 29-Apr-04 30-Apr-84 3-May -04 5-Apr-04 1.8140 1.7785 1.7925 15-Apr-04 16-Apr-04 19-Apr-04 20-Apr-04 21-Apr-04 22-Apr-04 6-Apr-04 1.8374 1.8004 1.7720 7-Apr-04 1.8410 1.8055 1.7751 8-Apr-04 1.8325 1.7914 1.7744 9-Apr-04 12-Apr-04 5-May -04 1.8322 1.7720 1.7720 1.8358 1.7684 4-May-04 1.7907 1.7932 13-May-04 1.7584 21-May-84 1.7880 6-May -84 1.7941 14-May-04 1.7572 24-May-04 1.7908 7-May-04 1.7842 17-May-04 1.7695 25-May-84 26-May-84 27-May-84 28-May-84 1.8135 10-May-84 1.7723 18-May-04 1.7695 1.8142 11-May-84 1.7544 19-May-04 1.7827 1.8369 12-May-84 1.7743 20-May-04 1.7710 1.8330 Click here for the Excel Data File (a) Make a line chart and fit an m-period moving average to the exchange rate data shown above with m= 2, 3, 4, and 5 periods. For each method, state the last MA value. (Round your answers to 4 decimal places.) m-period Next period forecast (b) Which value of m do you prefer? The preferred mvalue is . This value of mUsing this allows one to forecast the weekly or monthly trends without overreacting to dally fluctuations. (c) Is a moving average appropriate for this kind of data? Yes a moving average is approprlate

Find the average daily balance (new purchases included). Dates Payment Purchase End-of-Day Number of Sum of Balance Days Balances $1,537.80 240.20 2,161.80 175.20 2/1-2/10 $153.78 • 10 2/11 $86.42 240.20• 2/12-2/20 2/21 2/22-2/28 240.20. 9 $65.00 175.20 175.20 • Total 1,226.40 $5341.40 7 28 Select one: a. $198.22 b. $178.88 C. $176.55 O d. $190.76

A principal amount of 6,000 will be placed in a savings account. A simple interest account earns an annual percentage of 6.8%, while a compund interest account has an APR of 3.7% compunded quartely. Which account has a larger balance after 20 years?