For the Demand Values and the January Forecast Shown in the Table

question 11

Multiple Choice

For the demand values and the January forecast shown in the table below the exponential smoothing forecast for March using α = 0.30 is

• A)489.
• B)486.
• C)483.
• D)480.

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Definitions:

Retained Earnings

Retained earnings represent the cumulative amount of net income that a company has reinvested in its business rather than distributed to shareholders as dividends.

Common Equity

The amount of capital that belongs to the common shareholders of a company, represented by common stock and retained earnings.

Stock Price

The cost of purchasing a single share of a particular company, which fluctuates based on demand and supply dynamics in the market.

WACC

Weighted Average Cost of Capital; a calculation of a firm's cost of capital in which each category of capital (debt, equity) is proportionately weighted.