Answer the Following Questions) Using Exponential Smoothing After Having Optimized

question 17

Multiple Choice

Answer the following questions) using exponential smoothing after having optimized α at 0.1 increments.
-What is the formula used to calculate the value of at in the linear trend equation Ft+k = at + btk while using double exponential smoothing?

• A) at = βbt - bt-1) + 1 -β)bt-1
• B) at = αFt-1 + 1 - α)at +1 + bt+1)
• C) at = αFt + 1 - α)at -1 + bt-1)
• D) at = βbt + bt-1) + 1 + γ)bt-1

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The portion of earnings that can be consistently generated and expected to continue in the future, excluding any unusual or one-time profits or losses.

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