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

question 56

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?

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

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Definitions:

Sales Level

The total volume or amount of sales achieved by a business within a specified time period.

Dividend Payout Ratio

The portion of a company's earnings that is paid out to shareholders as dividends, usually expressed as a percentage.

Sustainable Rate

The maximum rate at which a company can grow its earnings without needing additional equity financing while maintaining a constant debt-to-equity ratio.

External Equity

Refers to funds raised from outside the company, typically through issuing new shares to investors.