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Exhibit 18

Question 12

Multiple Choice

Exhibit 18.2.The following table includes the information about a monthly time series. Exhibit 18.2.The following table includes the information about a monthly time series. Refer to Exhibit 18.2.When the exponential smoothing method with α = 0.1 and α = 0.5 is applied,what is the speed of decline for which the mean square error (MSE) is better? What is this mean? A) α = 0.5 and MSE = 13.67 B) α = 0.1 and MSE = 13.67 C) α = 0.5 and MSE = 10.41 D) α = 0.1 and MSE = 10.41 Refer to Exhibit 18.2.When the exponential smoothing method with α = 0.1 and α = 0.5 is applied,what is the speed of decline for which the mean square error (MSE) is better? What is this mean?


A) α = 0.5 and MSE = 13.67
B) α = 0.1 and MSE = 13.67
C) α = 0.5 and MSE = 10.41
D) α = 0.1 and MSE = 10.41

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