A Survey of Buyers' Intentions Forecast Involves

question 245

Multiple Choice

A survey of buyers' intentions forecast involves

• A) starting with the last known value of the item being forecast, listing the factors that could affect the forecast, assessing whether they have a positive or negative impact, and making the final forecast.
• B) making decisions without any intervening steps.
• C) asking prospective customers if they are likely to buy the product during some future time period.
• D) asking the firm's salespeople to estimate sales during a coming period.
• E) selecting the forecasting alternative that would allow a firm to survive financially even if the forecasts were totally incorrect.

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Definitions:

Assembly Department

a division within a manufacturing plant where components are put together to create a final product.

Direct Labor Hour

The amount of time employees directly involved in manufacturing spend on producing a specific unit of output.

Factory Overhead Rates

Calculated rates used to allocate a factory's indirect costs to products being produced, aiding in determining total production costs.

Plantwide Rate

A single, uniform overhead absorption rate used throughout an entire factory or plant, applied to all units irrespective of the department in which the costs were incurred.