Which of the Following Is True of the Linear Trend

question 109

Multiple Choice

Which of the following is true of the linear trend model?

• A) It assigns exponentially decreasing weights to older observations.
• B) It is a causal forecasting model.
• C) It can extract a long-term upward or downward steady movement in a series.
• D) It is used when a series involves only random fluctuations.

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