All of the Following Are True About Time Series Methods

question 25

Multiple Choice

All of the following are true about time series methods except

• A) They discover a pattern in historical data and project it into the future.
• B) They involve the use of expert judgment to develop forecasts.
• C) They assume that the pattern of the past will continue into the future.
• D) Their forecasts are based solely on past values of the variable or past forecast errors.

---

Definitions:

MRP Curve

The Marginal Revenue Product curve, which depicts the additional revenue generated by employing an additional unit of a resource or factor of production.

Demand

A schedule or curve that shows the various amounts of a product that consumers are willing and able to purchase at each of a series of possible prices during a specified period of time.

Price

The amount of money expected, required, or given in payment for something.

Marginal Revenue Product

The additional revenue generated by employing one more unit of a factor, such as labor or capital.