A Method of Smoothing a Time Series That Can Be

question 37

Multiple Choice

A method of smoothing a time series that can be used to identify the combined trend/cyclical component is

• A) the moving average.
• B) the percent of trend.
• C) exponential smoothing.
• D) the trend/cyclical index.

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Definitions:

Accounts Receivable Turnover

A financial ratio that measures how efficiently a company uses its assets by calculating the number of times average accounts receivable are collected during a specific period.

Acceleration

The rate at which the velocity of an object changes over time, including increases and decreases in speed or changes in direction.

Preceding Year

The year that immediately comes before the current year in a chronological sequence.

Unusual Item

An uncommon or rare financial transaction or event that is reported separately in financial statements due to its significance.