Below You Are Given the First Two Values of a Time

question 32

Multiple Choice

Below you are given the first two values of a time series. You are also given the first two values of the exponential smoothing forecast. ​ If the smoothing constant equals .2, then the exponential smoothing forecast for time period 3 is

• A) 18.
• B) 18.8.
• C) 21.2.
• D) 40.

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Definitions:

GAAP

Generally Accepted Accounting Principles, which are a set of rules and standards used in the United States for financial reporting.

Accounts Payable

Liabilities of a business that are owed to creditors for goods and services purchased on credit.

Inventory

The raw materials, work-in-process products, and finished goods that a company holds for the purpose of sale in the near future.

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A situation where total expenses exceed total revenues during a specific period, resulting in negative profit.