What Is the Forecast for the Period 7 Using a 3-Period

question 3

Multiple Choice

What is the forecast for the Period 7 using a 3-period moving average technique, given the following time-series data for six past periods? $$\begin{array} { | l | l | l | l | l | l | l | } \hline \text { Period } & 1 & 2 & 3 & 4 & 5 & 6 \\\hline \text { Value } & 136 & 126 & - 146 & - 148 & - 156 & 164 \\\hline\end{array}$$

• A)164.67
• B)156.00
• C)148.00
• D)126.57
• E)158.67

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Definitions:

Total Cost

The full expense incurred in the production or acquisition of goods or services, including both fixed and variable costs.

Marginal Cost

The supplementary charge triggered by the manufacture of one extra unit of a product or service.

Average Variable Cost

The total variable cost divided by the quantity of output produced; it represents the variable cost per unit of output.

Marginal Cost

The incremental cost associated with the production of an additional unit of a product or service.