Exhibit 11.5 The Following Questions Use the Data Below

question 64

Multiple Choice

Exhibit 11.5
The following questions use the data below.
A store wants to predict quarterly sales. The owner has collected 3 years of sales data and wants your help in analyzing the data using the multiplicative seasonal effects model.
-Refer to Exhibit 11.5. What formula should be entered in cell E3 to compute the base level when using the multiplicative seasonal effects method?

• A) =AVERAGE($E$3:$E$6)
• B) =AVERAGE(E3, E7, E11)
• C) =AVERAGE($D$3:$D$6)
• D) =AVERAGE(D3, D7, D11)

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Definitions:

Front-End Load Fee

A charge applied at the time of purchase of an investment, typically pertaining to mutual funds.

12b-1 Fee

A fee that mutual funds may charge for marketing, distribution, and service expenses, expressed as a percentage of assets under management.

Net Asset Value

The value per share of a fund, calculated by dividing the total value of the fund's assets minus its liabilities by the number of shares outstanding.

Year-End Assets

These are the total value of all assets that a company or individual owns at the end of the fiscal year.