Professor Very Busy Needs to Allocate Time Next Week to Include

question 110

Multiple Choice

Professor Very Busy needs to allocate time next week to include time for office hours. He needs to forecast the number of students who will seek appointments. He has gathered the following data: $$\begin{array} { l l } \text { Week } & \text {\# Students } \\\hline 6 \text { weeks ago } & 83 \\5 \text { weeks ago } & 110 \\4 \text { weeks ago } & 95 \\3 \text { weeks ago } & 80 \\2 \text { weeks ago } & 65 \\\text { Last week } & 50\end{array}$$ What is this week's forecast using trend-adjusted (double) smoothing with alpha = .5 and beta = .1, if the forecast for last week was 65, the forecast for two weeks ago was 75, and the trend estimate for last week's forecast was -5?

• A) 49.3
• B) 50.6
• C) 51.3
• D) 65.4
• E) 78.7

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Definitions:

Capital Cost Allowance (CCA)

A taxable expense in Canadian tax law that represents a yearly deduction for the depreciation of property used in a business or profession.

Fixed Assets

Long-term tangible assets that are used in the operations of a business and are not expected to be converted to cash in the near-term.

Initial Cost

The initial expenditure involved in acquiring an asset or starting a project, before any operational or maintenance costs.

Net Working Capital

The difference between a company's current assets and current liabilities, indicating the short-term liquidity and operational efficiency of the business.