If a Researcher Is Using Exponential Smoothing and Determines That

question 32

Multiple Choice

If a researcher is using exponential smoothing and determines that the forecast for the next period (F_{t + 1}) coincides with the weighted average of the actual value for the previous period (X_t) and the forecast value for the previous period (F_t) , with weights of p and q respectively.If p = 2, then q = ______.

• A)2/α + 2
• B)2/(α + 2)
• C)2/(α − 2)
• D)1/(α − 2)
• E)2/α − 2

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