Shiloh Has Begun the Sales Forecasting Procedure with a Variable

question 10

Multiple Choice

Shiloh has begun the sales forecasting procedure with a variable that has a very large scope and then systematically is working down to the sales forecast.Shiloh is using the:

• A)breakdown process.
• B)buildup process.
• C)chain-linkage method.
• D)bottom-up method.

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Definitions:

Decreasing-Cost Industry

An industry where the average cost of production decreases as the industry's output increases, often due to economies of scale.

Long-Run Industry Supply Curve

A graphical representation that shows the relationship between the price of a good and the total output of the industry over time, assuming all inputs are variable.

LRAC Curve

the Long-Run Average Cost curve, showing the lowest average cost at which any output level can be produced when all inputs are variable.

Increasing-Cost Industry

An industry where the costs of production increase as the output expands, often due to factors like resource depletion and higher input prices.