Which time-series model below assumes that demand in the next period will be equal to the most recent period's demand?
A) naive approach
B) moving average approach
C) weighted moving average approach
D) exponential smoothing approach
E) random approach

Question

Quizplus · Accepted Answer

The naive approach assumes that demand in the next period will be equal to the most recent period's demand. This is the simplest time-series model and is useful when there is no trend or seasonal pattern in the data.

Which Time-Series Model Below Assumes That Demand in the Next