Table 107 -The Classical Consultant Company Provides Forecasting Research for Clients Such

question 85

Multiple Choice

Table 10.7
$$\begin{array} { | c | c | } \hline \text { Month } & \begin{array} { c } \text { Units Sold } \\( 00 ) \end{array} \\\hline 1 & 150 \\2 & 145 \\3 & 160 \\4 & 180 \\5 & 220 \\\hline\end{array}$$
-The Classical Consultant Company provides forecasting research for clients such as a group of five doctors associated with a new hospital health maintenance program.The company has been asked to forecast the number of patients requesting blood analysis per week.The past weekly average is 38 and for the trend is 2 per week.This week's demand was 42 blood tests.How many patients Will come next week? (Suppose ? = 0.10 and ? = 0.30.)

• A) less than or equal to 39
• B) greater than 39 but less than or equal to 41
• C) greater than 41 but less than or equal to 43
• D) greater than 43

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Definitions:

MR = MC

A condition where the marginal revenue (MR) equals marginal cost (MC), which is the profit maximizing level of output for a firm under perfect competition.

Marginal Revenue

The increased income derived from the sale of one extra unit of a good or service.

Marginal Cost

The change in total cost that arises when the quantity produced is incremented by one unit.

MC > MR

A condition where Marginal Cost (MC) is greater than Marginal Revenue (MR), suggesting that producing additional units of a good will not increase profits and may reduce them.