What Would Be the Appropriate Way to Forecast Sales for a Firm

question 40

Multiple Choice

What would be the appropriate way to forecast sales for a firm that has stable year-to-year sales,but seasonally fluctuating month-to-month sales?

• A)Forecasts would need to be adjusted for a trend, but would not need a regression to adjust for seasonality.
• B)Forecasts would need to be adjusted for seasonality, but would not need a regression to adjust for a trend.
• C)Ignore both the trend and the seasonality.
• D)None of these.

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