All of the following are true about a cyclical pattern except
A)it is often due to multi-year business cycles
B)it is often combined with long-term trend patterns and called trend-cycle patterns
C)it is an alternating sequence of data points above and below the trend line
D)it is usually easier to forecast than a seasonal pattern due to less variability

Question

Quizplus · Accepted Answer

Option D is the best choice because it is false. Cyclical patterns can be more difficult to forecast because they are often affected by external factors like politics and global events, leading to greater variability. Options A, B, and C are all true about cyclical patterns.

All of the Following Are True About a Cyclical Pattern