Question 1

1. A long term increase or decrease in the data is known as what

a. Trend

b. Seasonal

c. Cyclical

d. White Noise

2. Data that exhibits rises and falls that are not of a fixed period is known

a Trend

b. Seasonal

c. Cyclical

d. White Noise

Question 4

4. An ARIMA (2,0,3) model has a moving average component component of

Question 5

5. An ARIMA (2,3.1) model has a differencing component of order

2

3

1

0

6. Exponential smoothing models describe autocorrelations in the data

(TRUE/FALSE)

8. Time series with trend or seasonality are stationary, (TRUE/FALSE)

9. Spurious regression means a regression of

a, a stationary time series y(t) on a non-stationary time series x(t)

b, a stationary time series y(t) on a stationary time series x(t)

c, a non-stationary time series y(t) on a non stationary time series x(t)

d. a non-stationary time series y(t) on a stationary time series xit)

10A random walk time series has finite variance

True/False

11. The ACF of s non-stationary time series falls to

0 relatively quickly (true or false

12 Which of the following is a useful property of forecasting residual purpose of calculating prediction intervals?

2. Residuals are normally distributed

b. Residuals are uncorrelated

c. Residuals have mean zero

d. None of the above

14, What Is the consequence of forecasting residuals that don't have

a. Prediction intervals are diffcult to calculate

b.information is lett in the residuals that should be used

c. Forecasts are biased

d. None of the above

17. Given the regression equation y-hat=-15.6-3.8x the prediction will be _____

16. The logarithmic transformation can make a time series statition

a. stabilizing the mean

B.stabilizing the variance

C.)stabilizing both the mean and the variance

d. stabilizing neither the mean nor the variance

20. What statistical test is used for testing the overall significance of the

2. Z test

b t test

C unit root test

d Ftest

23. The slope of a regression equation represents the average change in the dependent variable y due to a one-unit increase in the independent variable

(TRUE/FALSE)

24. Given the regression equation y-hat =15.6 - 3.8x, a one-unit increase

would result in an average increase of 3.8 in y, (TRUE/FALSE)

25.) Given the regression equation y hat =15.6 - 3.8x, the predicted y for x _____