Question 4
You are fitting an ARIMA model to a stock price time series. You want to use no moving average component, 5 lags for autoregression, and 1 difference to make the series stationary. Which of the following model specifications should you use?
ARIMA(..., trend = (5,1,0))
ARIMA(..., order = (5,1,0))
ARIMA(..., order = (0,5,1))
ARIMA(..., trend = (0,5,1))