The effect of an unpredictable,rare event will be contained in which component of the time series?
A)Long-term trend
B)Cyclical variation
C)Seasonal variation
D)Random Variation

Question

Quizplus · Accepted Answer

A rare and unpredictable event is likely to be captured in the random variation component of a time series as it represents the residual variation that cannot be explained by the other components. The other components (long-term trend, cyclical variation, and seasonal variation) are typically affected by more predictable and systematic factors.

The Effect of an Unpredictable,rare Event Will Be Contained in Which