We calculate the three-period moving average for a time series for all time periods except the:
A) first period.
B) last period.
C) first and last period.
D) first and last two periods.

Question

Quizplus · Accepted Answer

The three-period moving average requires the calculation of the average of the current period and two previous periods. The first period only has one or two previous periods to consider, making it impossible to calculate a three-period moving average. The last period only has one or two future periods to consider, making it impossible to calculate a three-period moving average. Therefore, we exclude the first and last periods.

We Calculate the Three-Period Moving Average for a Time Series