In contrast to linear trend,exponential trend is appropriate when the time series changes by a:
A)constant amount each time period
B)constant percentage each time period
C)positive amount each time period
D)negative amount each time period

Question

Quizplus · Accepted Answer

Exponential trend is appropriate when the time series changes by a constant percentage each time period. This means that the rate of growth or decline is not constant, but rather proportional to the existing value. Therefore, an exponential trend would be suitable for data that exhibits a compounding effect.

In Contrast to Linear Trend,exponential Trend Is Appropriate When the Time