Of the four components of the multiplicative time-series model, the ratio of the time series to the moving average isolates the:
A)trend and cyclical components.
B)cyclical and seasonal components.
C)seasonal and random variation components.
D)four components.

Question

Quizplus · Accepted Answer

The ratio of the time series to the moving average isolates the seasonal and random variation components by removing the trend component.

Of the Four Components of the Multiplicative Time-Series Model, the Ratio