Exhibit 11.11 The Following Questions Use the Data Below

question 117

Multiple Choice

Exhibit 11.11
The following questions use the data below.
Joe's Sporting Goods wants to forecast quarterly sales figures using seasonal indices. The store has collected 12 quarters of data and needs your help to analyze the data. The relevant regression output is in the following table.
-Refer to Exhibit 11.11. What are predicted sales for the first quarter of year 4?

• A) 755 ≤ predicted sales < 780
• B) 1255 ≤ predicted sales < 1260
• C) 1275 ≤ predicted sales < 1280
• D) 1405 ≤ predicted sales < 1410

---

Definitions:

Insurance Premium

The amount paid periodically to an insurance company by the policyholder for covering their risk.

Raw Land

Undeveloped land without any buildings or improvements, often considered as a real estate investment opportunity.

Proportionate Price

A price or value that has been adjusted based on a certain proportion or percentage of a whole.

Overhead Costs

The indirect expenses related to the operation of a business, such as rent, utilities, and administrative salaries, that are not directly tied to a specific product or service.