Of the four components of the multiplicative time series model,the ratio-to-moving average procedure isolates the:
A) irregular component.
B) trend component.
C) seasonal component.
D) cyclical component.
E) All of these.

Question

Quizplus · Accepted Answer

The ratio-to-moving-average method is specifically used to isolate the seasonal component in a time series by adjusting the data to remove the trend, thus allowing for the identification and measurement of seasonality.

Of the Four Components of the Multiplicative Time Series Model,the