Stat 565

# Homework 5

##### Due in class Feb 18

Required reading 5.4 & 5.5 in Chatfield

# 1

Fit a seasonal ARIMA model to the Johnson and Johnson quarterly returns data in the package astsa and forecast the next 12 quarters (including prediction intervals).

# install.packages("astsa")
library(astsa)
data(jj)


# 2 The Holt Winters Method

3. Investigate the R function HoltWinters. How do you specify the decisions from above? How does the function choose starting values and estimate parameters?