For the given five values 18, 25, 20, 36, 49, the three years moving averages are
Answer & explanation
Correct answer: option 2
The correct answer is Option (2) → 21, 27, 35
A three-year moving average is the mean of each set of three consecutive values, moving one value at a time.
\( \displaystyle \frac{18 + 25 + 20}{3} = \frac{63}{3} = 21 \)
\( \displaystyle \frac{25 + 20 + 36}{3} = \frac{81}{3} = 27 \)
\( \displaystyle \frac{20 + 36 + 49}{3} = \frac{105}{3} = 35 \)
So the moving averages are 21, 27, 35.