Which Is Not a Characteristic of Exponential Smoothing

question 91

Multiple Choice

Which is not a characteristic of exponential smoothing?

• A)smoothes random variations in the data
• B)weights each historical value equally
• C)has an easily altered weighting scheme
• D)has minimal data storage requirements
• E)smoothes real variations in the data

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Definitions:

Variable Overhead Efficiency Variance

A metric used to assess the efficiency of variable overhead resource utilization by comparing the actual hours worked to the standard hours allowed for the actual output.

Variable Manufacturing Overhead

Costs of manufacturing overhead that vary with the level of production activity, such as utility costs.

Standards

Predetermined benchmarks or norms used for measuring performance or ensuring consistency and quality in various fields.

Standard Cost System

A cost accounting system that estimates costs based on standard efficiency and material usage rates, then compares them with actual costs to identify variances.