The Following Table Includes the Information About a Monthly Time

question 33

Multiple Choice

The following table includes the information about a monthly time series. When the exponential smoothing method with α = 0.1 and α = 0.5 is applied, what is the speed of decline for which the mean square error is better? What is this mean?

• A) α = 0.5 and MSE = 13.67.
• B) α = 0.1 and MSE = 13.67.
• C) α = 0.5 and MSE = 10.41.
• D) α = 0.1 and MSE = 10.41.

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