The straight line is fitted to the time series when the movements in the time series are:
A. Irregular
B. Nonlinear
C. Linear
D. Upward
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The correct answer is "C" ( Linear)
Explanation: First the time series figures are plotted on a graph. The points are joined by straight lines. We get fluctuating straight lines, through which an average straight line is drawn. However, this method is inaccurate, since different persons may fit different trend lines for the same set of data.
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