A method that uses a weighted average of past values for arriving at smoothed time series values is known as
A) a smoothing average.
B) a moving average.
C) additive approach.
D) exponential smoothing.

Question

Quizplus · Accepted Answer

The method of using a weighted average of past values is known as exponential smoothing. Option A (smoothing average) is not a commonly used term, option B (moving average) is a method of smoothing but it involves equally weighted past values, option C (additive approach) is not directly related to smoothing. Therefore, option D (exponential smoothing) is the best choice.

A Method That Uses a Weighted Average of Past Values