Which is a reason for using a log scale for time series data?
A)It helps compare growth in time series of dissimilar magnitude.
B)General business audiences find it easier to interpret a log scale.
C)On a log scale, equal distances represent equal dollar amounts.
D)The axis labels are usually easier to read in log units.

Question

Quizplus · Accepted Answer

A log scale compresses the data so that differences in magnitudes are more easily comparable. Therefore, it is useful for comparing growth rates over time when the magnitudes of the data are dissimilar.

Which Is a Reason for Using a Log Scale for Time