Table 14.13 The Manager of a Pizza Shop Must Forecast Weekly Demand

question 40

Multiple Choice

Table 14.13
The manager of a pizza shop must forecast weekly demand for special pizzas so that he can order pizza shells weekly.Recent demand has been:

-Use the information from Table 14.13.The pizza shop manager believes that a combination forecast might improve her ability to predict future demand,and thus improve keeping fresh ingredients on hand.She decides to use the 3-week simple moving average and exponentially smoothed average forecast (problems # 125 and 127) ,giving them equal weight.What is her forecast for week #7?

• A)35.5 pizzas
• B)37.4 pizzas
• C)38.2 pizzas
• D)40.2 pizzas

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Definitions:

Return On Total Assets

A financial ratio that indicates how effectively a company is using its assets to generate profit, measured by dividing net income by total assets.

Earnings Per Share

This is a financial ratio that measures the amount of net income earned per share of stock owned.

Asset Turnover Ratio

A financial metric that measures the efficiency of a company in generating sales from its assets, calculated by dividing total revenue by average total assets.

Asset Turnover Ratio

A financial metric that measures the efficiency of a company in utilizing its assets to generate sales or income, calculated by dividing net sales by the average total assets.