A Forecast Based on the Previous Forecast Plus a Percentage

question 130

Multiple Choice

A forecast based on the previous forecast plus a percentage of the forecast error is:

• A)a naive forecast.
• B)a simple moving average forecast.
• C)a centered moving average forecast.
• D)an exponentially smoothed forecast.
• E)an associative forecast.

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Definitions:

Time Horizons

Time horizons refer to the length of time over which an investment or financial instrument is expected to be held or a financial goal to be achieved.

Defined Contribution Pension Plan

A retirement plan where employee benefits are based on the amount of money contributed and the performance of the investment options chosen.

Bears All The Risk

A term referring to the situation where an individual or entity assumes the entire risk associated with an investment or decision.