The Sum of the Weights in a Weighted Moving Average

question 30

Multiple Choice

The sum of the weights in a weighted moving average forecast

• A)must equal the number of periods being averaged.
• B)must equal 1.00.
• C)must be less than 1.00.
• D)must be greater than 1.00.

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Definitions:

Disputed Account

A financial account or transaction that is contested or challenged due to disagreements between the parties involved over its accuracy or legitimacy.

Financial Calculators

Electronic tools or software used to perform financial operations and calculations, including loan payments, investment returns, and more.

Interest Rate

The tariff a borrower pays to a lender, calculated as a proportion of the principal, for the right to employ certain assets.

Present Value

Calculated by discounting future cash flows to understand their worth in today's terms, taking into account the time value of money.