The Simplest Approach to Estimating a Future Period's Sales Is

question 76

Multiple Choice

The simplest approach to estimating a future period's sales is to assume that they will be equal to those of the latest observed period. In statistics, this is often simply referred to as which of the following?

• A) Base case approach
• B) Deseasonalized approach
• C) Naïve approach
• D) Pro forma approach

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Definitions:

Withdrawals

Money taken out from a business by its owners for personal use or from an account by the account holder.

Rate of Return

Rate of return refers to the profit or loss achieved from an investment during a specific time frame, represented as a percentage of the investment's original price.

Interest Rate

The proportion of a loan that is charged as interest to the borrower, typically expressed as an annual percentage.

Principle

The original amount of money invested or loaned, before interest is added.