New Forecast = [(α *Latest Observation)+((1 - α)* Old Forecast)]

question 1

Multiple Choice

New forecast = [(α *latest observation) +((1 - α) * old forecast) ] is the formula for ______.

• A)moving average
• B)weighted moving average
• C)exponential smoothing
• D)factor rating method

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Definitions:

Capital Balance

The amount of money that owners have invested in a business, plus any profits or minus any losses from the company's operations.

Accounting Period

The specific time period covered by financial statements, often a fiscal year or quarter, within which all financial transactions are recorded and reported.

Investments

Assets or items purchased with the expectation that they will generate income or appreciate in value over time.

Withdraw

The act of taking money out of a business by an owner for personal use or removing oneself from a business arrangement or partnership.