TABLE 16-6
the Number of Cases of Merlot Wine Sold

question 166

Short Answer

TABLE 16-6
The number of cases of merlot wine sold by a Paso Robles winery in an 8-year period follows.
$$\begin{array} { c c } \underline { \text { Year }} &\underline {\text { Cases of Wine }}\\ 1991 & 270 \\1992 & 356 \\1993 & 398 \\1994 & 456 \\1995 & 358 \\1996 & 500 \\1997 & 410 \\1998 & 376\end{array}$$

-Referring to Table 16-6, the Holt-Winters method for forecasting with smoothing constant of 0.8 for both level and trend will be used to forecast the wine sales. The forecast for 1999 is_____ .

---

Definitions:

Fair Value

The proceeds from selling an asset or the financial burden of a liability transfer in a civilized negotiation with market participants on the valuation date.

Functional Currency

The main currency used by a business or in an economy, often the domestic currency or the currency of the primary economic environment in which the entity operates.

Foreign Currency

Refers to currencies other than the domestic currency of a company, used in international trade and investment.

Liabilities

Financial obligations or debts owed by a company to others, which are expected to be paid or settled in the future.