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Q1) Tendency of series of values to increase or decrease over long period of time is called as the ________ of a time series.
a) Cyclical fluctuation.
b) Secular trend.
c) Residual effect.
d) Seasonal variation.
Q2) The _______ generally explains fluctuations of time series which are attributable to business and economic conditions.
b) Residual effect.
c) Seasonal variation.
d) Secular trend.
Q3) The _______ is what remains of time series value after secular, cyclical, and seasonal components have been removed.
a) Additive effect.
b) Exponential effect.
c) Error effect.
d) Residual effect.
Q4) Choice of exponential smoothing constant w has little or no effect on forecast values using exponential smoothing.
True
False
Q5) Exponentially smoothed predict takes into account both changes in trend and seasonality.
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