For an annual time series extending from 1993 through 2001, how many years would be lost in a five-year moving average?
A) 2 at the start and 1 at the end
B) 1 at the start and 1 at the end
C) 2 at the start and 0 at the end
D) 0 at the start and 2 at the end
E) 2 at the start and 2 at the end

Question

Quizplus · Accepted Answer

A five-year moving average smooths out fluctuations in data by averaging each set of five consecutive years. The first average can only be calculated after the first four years, losing 2 years at the start, and the last average is calculated using the last year in the series, losing 2 years at the end.

For an Annual Time Series Extending from 1993 Through 2001