Refer to the Following Graph to Answer the Following Questions

question 59

Multiple Choice

Refer to the following graph to answer the following questions:
-Assuming the figure represents the market for loanable funds,which of the following would represent a cut in corporate tax rates,causing business owners and managers to become more optimistic?

• A) a shift from line 1 to line 4
• B) movement from B to A
• C) a shift from line 2 to line 3
• D) movement from A to B
• E) a shift from line 3 to line 2

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Definitions:

Exponential Smoothing Model

A time-series forecasting method for univariate data that applies exponentially decreasing weights to past observations.

Smoothing Constant

A parameter used in exponential smoothing techniques to weight the importance of historical data, controlling the rate at which past data influences forecasts.

Sales Forecast

An estimate of the amount of sales a company expects to achieve over a certain period of time, based on historical data, market analysis, and other factors.

Root Mean Square Error

It is a measure used to assess the differences between values predicted by a model or an estimator and the observed values.