Exhibit 11.12 The Following Questions Use the Data Below

question 116

Multiple Choice

Exhibit 11.12
The following questions use the data below.
Joe's Sporting Goods wants to forecast quarterly sales figures using a seasonal regression model. The store has collected 12 quarters of data and needs your help to analyze the data. The relevant regression output is provided in the following table.
-Refer to Exhibit 11.12. What formula should be entered in cell I3 to compute the Seasonal Value for year 1 Quarter 1?

• A) =388.88+10.052*C3+4.248*D3+79.917*E3+296.008*F3+84.924*G3
• B) =10.052*C3+4.248*D3-79.917*E3-296.008*F3-84.924*G3
• C) =388.88+10.052*C3+4.248*D3-79.917*E3-296.008*F3-84.924*G3
• D) =I3+10.052*C3+4.248*D3-79.917*E3-296.008*F3-84.924*G3

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Definitions:

Creditors

Individuals or entities that a company owes money to, typically as a result of receiving goods or services.

Dissolution

The process of legally dissolving a company, ending its existence by distributing its assets to creditors and shareholders.

Secured Creditor

A lender that has the right to claim specific assets of the borrower as repayment in case of default.

Director's Control

The authority and power held by a company's board director(s) to guide and manage the organization's operations and policies.