Exhibit 11.4 The Following Questions Use the Data Below

question 21

Multiple Choice

Exhibit 11.4
The following questions use the data below.
Joe's Sporting Goods wants to forecast quarterly sales figures using the additive seasonal method. The store has collected 12 quarters of data and needs your help to analyze the data.
-Refer to Exhibit 11.4. What formula should be entered in cell F7 to compute the seasonal factor using the additive seasonal effects model?

• A) =$J$3*D4+(1-$J$3)*(E3+F3)
• B) =$J$4*(D7-E7)+(1-$J$4)*F3
• C) =$J$4*(E7-E6)+(1-$J$4)*E6
• D) =$J$3*G3+(1-$J$3)*(D3+G3)

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Definitions:

Warehouse Receipt

A document certifying the storage of goods in a warehouse, serving as proof of ownership or a means to transfer ownership.

Irrigation Pumps

mechanical devices used to move water from one location to another for the purpose of agricultural irrigation.

Risk Of Loss

The potential that an investment's value will decrease, leading to a financial loss for the investor or owner.

Commercial Grill

A type of cooking appliance used in food service establishments, designed for grilling large quantities of food efficiently.