Which of the following exponential smoothing constant values puts the same weight on the most recent time series value as does a five-period moving average?
A)α = 0.2
B)α = 0.25
C)α = 0.75
D)α = 0.8

Question

Quizplus · Accepted Answer

A five-period moving average gives equal weight to each of the five most recent time series values, which is equivalent to using an exponential smoothing constant of α = 0.2. Therefore, the best choice is option A, α = 0.2.

Which of the Following Exponential Smoothing Constant Values Puts the Same