Suppose That You Are Using the Naïve Forecasting Method with Trend

question 41

Multiple Choice

Suppose that you are using the naïve forecasting method with trend to forecast sales. Sales have been increasing by 10% per week. Two weeks ago, sales amounted to $100. What should your forecast be for this week?

• A) $100
• B) $ 10
• C) $110
• D) $121
• E) $120

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Definitions:

Federal Reserve System

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Countercyclical Fiscal Policy

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