Start learning 50% faster. Sign in now
Trend analysis often involves the use of techniques that help smooth out fluctuations in data over time to identify underlying patterns or trends. The moving average method is widely used in sales forecasting because it takes a set period of historical data (e.g., the past 3 months or 12 months) and averages the values to provide a smoother, clearer view of trends. This method helps to filter out short-term fluctuations or noise in the data and highlights the overall direction (upward or downward) of sales performance. Moving averages can be simple or weighted to give more importance to recent data, making them a valuable tool in forecasting future trends. Why Other Options Are Incorrect: • A: Data clustering is used for grouping similar data points together based on certain features, but it is not a forecasting method. • C: Logistic regression is useful for classification tasks, such as predicting probabilities of events, but it is not commonly used for trend forecasting in sales. • D: K-means is a clustering algorithm and is not intended for time series forecasting or identifying trends over time. • E: Text mining is focused on extracting useful information from unstructured text data and is not applicable to forecasting trends in numerical data like sales figures.
Recently from 25 to 27 March, 2022 the India Boat & Marine Show (IBMS) , 4th edition was organized in which part of the country?
3rd edition of NIC Tech Conclave was inaugurated in New Delhi. The two-day event was organized by the National Informatics Centre. The theme for Tech Co...
In which state India - Uzbekistan biennial military training exercise - Dustlik 2023 was organized?
Which of the following NBFCs was ordered by RBI to stop lending due to regulatory violations recently (Oct 2024)?
In which year was the "Padhe Bharat, Badhe Bharat" program launched as part of the Sarva Shiksha Abhiyan framework?
Which country is expected to become a new source of labor for Taiwan according to the signed memorandum of understanding on migrant workers?
SEBI constituted a Standing Committee, Market Data Advisory Committee (MDAC) headed by ______________.
National Institute of Fisheries Post Harvest Technology and Training (NIFPHATT), has organized a workshop on Matsya Sampada Jagrukta Abhiyan to promote ...
Which of the following statements is correct regarding the Project Swasthya Nagaram launched in Telangana for TB-Free Municipalities?
What amount has the Asian Development Bank (ADB) approved for a policy-based loan to improve India's health system?