Business Forecasting using Excel | Business & Finance homework help
If you look at the autocorrelation structures of larceny stolens for lags 1 through 5, it becomes clear that these coefficients rapidly fall to zero. This case, the critical value of rk is 0.4177. It means that none of these values is significantly lower than that threshold.
As each period doesn’t seem to affect the next, this result shows that there is not any trend in these stolen items. It could indicate that there is randomness in the data, which may suggest that more analysis might be necessary to understand what factors contribute to this pattern. Autocorrelations may provide insights into patterns in the short term, but they shouldn’t be relied upon alone to forecast long-term trends.
The results of this analysis show no trends in larceny stolens when looking at them over time as indicated by low autocorrelation factors. To gain further insight on why it is happening, additional research must be done.