SSC CGL Exam  >  SSC CGL Videos  >  SSC CGL Tier 2 - Study Material, Online Tests, Previous Year  >  Additive and Multiplicative Models, Business Mathematics and Statistics

Additive and Multiplicative Models, Business Mathematics and Statistics Video Lecture | SSC CGL Tier 2 - Study Material, Online Tests, Previous Year

1365 videos|1312 docs|1010 tests

Top Courses for SSC CGL

FAQs on Additive and Multiplicative Models, Business Mathematics and Statistics Video Lecture - SSC CGL Tier 2 - Study Material, Online Tests, Previous Year

1. What is the difference between additive and multiplicative models in business mathematics and statistics?
Ans. Additive models are used when the relationship between variables is linear, meaning that the effect of one variable is simply added to the effect of another. On the other hand, multiplicative models are used when the relationship between variables is non-linear, meaning that the effect of one variable is multiplied by the effect of another.
2. How are additive models applied in business mathematics and statistics?
Ans. Additive models are commonly used in forecasting and time series analysis. They assume that the observed data can be decomposed into a systematic component and a residual component, where the systematic component represents the underlying trend and seasonality, and the residual component represents the random fluctuations.
3. When are multiplicative models more appropriate in business mathematics and statistics?
Ans. Multiplicative models are more appropriate when the relationship between variables is not strictly linear and cannot be adequately captured using additive models. For example, when the effect of one variable on another is proportional rather than additive, a multiplicative model may be more suitable.
4. What are the advantages and disadvantages of additive models?
Ans. The advantages of additive models include their simplicity and interpretability, as well as their ability to handle time series data with a constant variance. However, additive models may not capture non-linear relationships accurately and may not be appropriate for data with changing variance.
5. Can additive and multiplicative models be combined in business mathematics and statistics?
Ans. Yes, additive and multiplicative models can be combined to create hybrid models that capture both linear and non-linear relationships. These hybrid models, such as the additive-multiplicative seasonal decomposition of time series (AMSD), can provide a more accurate representation of the underlying data and improve forecasting accuracy.
Explore Courses for SSC CGL exam
Signup for Free!
Signup to see your scores go up within 7 days! Learn & Practice with 1000+ FREE Notes, Videos & Tests.
10M+ students study on EduRev
Related Searches

Additive and Multiplicative Models

,

Online Tests

,

Business Mathematics and Statistics Video Lecture | SSC CGL Tier 2 - Study Material

,

practice quizzes

,

shortcuts and tricks

,

Sample Paper

,

Business Mathematics and Statistics Video Lecture | SSC CGL Tier 2 - Study Material

,

study material

,

Additive and Multiplicative Models

,

Online Tests

,

Previous Year

,

mock tests for examination

,

ppt

,

Previous Year

,

Free

,

Summary

,

Previous Year Questions with Solutions

,

Extra Questions

,

Exam

,

Additive and Multiplicative Models

,

Previous Year

,

Business Mathematics and Statistics Video Lecture | SSC CGL Tier 2 - Study Material

,

Important questions

,

Online Tests

,

pdf

,

Semester Notes

,

video lectures

,

MCQs

,

Viva Questions

,

past year papers

,

Objective type Questions

;