The method of least squares is used on time-series data for
A) deseasonalising the data.
B) exponentially smoothing a series.
C) obtaining the trend equation.
D) eliminating irregular movements.

Question

Quizplus · Accepted Answer

The method of least squares is commonly used to obtain the trend equation, which represents the overall pattern or direction of a time series. The other choices are not typically addressed through the use of least squares. A is typically accomplished through seasonal adjustment methods, B through exponential smoothing methods, and D through filtering or detrending techniques.

The Method of Least Squares Is Used on Time-Series Data