Which of the following is not true in regard to the weights used in exponential smoothing?
A)They are all positive
B)The last weight is always the smallest
C)They add up to 1
D)They decrease exponentially into the past

Question

Quizplus · Accepted Answer

The weights in exponential smoothing decrease exponentially into the past, are all positive, and always add up to 1. However, the last weight may not necessarily be the smallest. It depends on the type of exponential smoothing used. In simple exponential smoothing, the last weight is the complement of the smoothing factor alpha. But in other variants, such as Holt-Winters' method, the last weight may depend on the seasonal period or the trend component. Therefore, option B is not true for all types of exponential smoothing.

Which of the Following Is Not True in Regard to the Weights