Which of the Following Is Not One of the Techniques

question 1

Multiple Choice

Which of the following is not one of the techniques that can be used to identify whether a time series is truly random?

• A)a graph (plot the data)
• B)the runs test
• C)a control chart
• D)the autocorrelations (or a correlogram)

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Definitions:

Cash Flows

The net amount of cash being transferred into and out of a business, especially as affecting liquidity.

Average Accounting Return

A measure of profitability calculated as the average net income divided by the average book value of investment over a period.

Annual Net Incomes

The total profit of a company after all expenses and taxes have been deducted from revenues for one year.

Salvage Value

The estimate of an asset's worth at the end of its useful life.