Read the two statements and choose the correct option.
I. A moving average smooths out short-term ups and downs to show the trend.
II. A 3-year moving average gives a trend value for the first and the last year as well.

Only ICorrect answerYour answerOnly IICorrect answerYour answerBoth I and IICorrect answerYour answerNeither I nor IICorrect answerYour answer

Show the answer and explanation

CorrectNot quiteAnswer A

Correct answer: A

I: averaging neighbouring years cancels out much of the short-term change. True.
II: the first and last years have no neighbour on one side, so they get no 3-year average. False.

Ten questions from Time Series & Trend, at your own pace.

Ten questions from Time Series & Trend, at your own pace.

Read the two statements and choose the correct option.I. A moving average smooths out short-term ups and downs to show the trend.II. A 3-year moving average gives a trend value for the first and the last year as well.