Which of the Following Is true regarding the Two Smoothing

question 99

Multiple Choice

Which of the following is true regarding the two smoothing constants of the Forecast Including Trend (FIT) model?

• A) One constant is positive, while the other is negative.
• B) They are called MAD and cumulative error.
• C) Alpha is always smaller than beta.
• D) One constant smoothes the regression intercept, whereas the other smoothes the regression slope.
• E) Their values are determined independently.

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Definitions:

Demand Curve

A graphical representation of the relationship between the price of a good and the quantity demanded for a given period.

Decrease In Demand

A shift in the demand curve to the left, indicating that consumers are willing to purchase less of a product at every price point.

Demand Curve

A graph showing the relationship between the price of a good and the quantity of that good that consumers are willing to buy.

Market Demand Curve

A graphical representation showing the quantity of a particular good or service that consumers are willing and able to buy at various prices.