The Holt-Winters multiplicative model differs from the Holt-Winters additive model in that the Holt-Winters multiplicative model ________.
A)is synonymous to the double exponential smoothing forecast model
B)is synonymous to the single exponential smoothing forecast model
C)applies to time series with relatively stable seasonality
D)applies to time series whose amplitude increases or decreases over time

Question

Quizplus · Accepted Answer

The Holt-Winters multiplicative model applies to time series whose amplitude increases or decreases over time, while the Holt-Winters additive model applies to time series with relatively stable seasonality. The Holt-Winters multiplicative model is not synonymous with either the double or single exponential smoothing forecast model.

The Holt-Winters Multiplicative Model Differs from the Holt-Winters Additive Model