Which of the Following Best Describes the Decomposition Modeling Approach

Multiple Choice

Which of the following best describes the decomposition modeling approach to forecasting?

A) The values of certain variables are used to predict the values of others.
B) Series are separated into trend, seasonal, irregular, and cyclical components.
C) Forecasts are based on an average of recent values.
D) Sophisticated models such as regression with binaries are preferred.