Which of the following statement is correct about Exponentia

Which of the following statement is correct about Exponential Smoothing method?

A. Smoothing constant ranges from -1 to +1.

B. You can understand the cause-effect relationship using this method

C. All the previous values of historical data affect the forecast

D. This is a qualitative forecasting method

Solution

answer is (D): this is a qualitative forecating method.

smoothing constant ranges from 0 to +1.

you can\'t under stand the cause-effect relationship using exponential smoothing method.

Involves little record keeping of past data. Not possible to keep All the previous values of historical data affect the forecast.

This is a good qualitative forecasting method.