A time series
is a set of statistical observations arranged is chronological order. Time
series may be defined as collection of magnitudes of some variables belonging
to different time periods. It is commonly used for forecasting.
Utilities of time
series analysis
1. It
helps in understanding past behaviour and is useful for prediction of future.
2. It
facilitates comparison.
3. The
various components of time series are useful to study the effective change
under each component.
4. The
reasons for variation can be studied by comparing actual with expected results.