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Characteristics and Limitations of moving average
Characteristics of moving average
1) The more the number of periods in the moving average, the greater the smoothing effect.
2) Various moving averages produce various forecasts.
3) The more the randomness of data along with underlying trend being constant then the more the periods should be included in the moving averages.
Limitations of moving averages
1) Equal weighing along with disregard to how more recent data is more relevant.
2) Moving average ignores data outside the period of the average hence it does not fully utilize available data.
3) Where there is an underlying seasonal variation, forecasting along with unadjusted moving average can be misleading.
Doing these sums initially in this way helps children see why they carry over numbers to the next column. You may like to devise some related activities now. , EI) Give activ
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#math assignment
A circle touches the sides of a quadrilateral ABCD at P, Q, R and S respectively. Show that the angles subtended at the centre by a pair of opposite sides are supplementary.
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