Francesca Needs to Develop a Forecast Based on Customer Intentions

question 43

Essay

Francesca needs to develop a forecast based on customer intentions.She needs to determine the best forecasting method to use, and the realistic aspects of the method.Help Francesca pick the best method and explain to her the difficulty associated with that method.

---

Definitions:

Dividend Payout Ratio

An economic indicator that calculates the proportion of a corporation's profits distributed to its shareholders in the form of dividends.

Fixed Assets

Long-term tangible assets used in a business's operations and not expected to be converted to cash within a year.

Operating Capacity

The maximum output a company can produce in a given period under normal conditions, influencing its ability to meet demand.