Renton Industries makes replacement parts for the automobile industry.As part of the company's capacity planning,it needs a long-range total demand forecast.The following information was generated based on 10 years of historical data on total number of parts sold each year. Based on this information,we can conclude that sales on average have been growing by more than 48 thousand annually.

Question

Renton Industries makes replacement parts for the automobile industry.As part of the company's capacity planning,it needs a long-range total demand forecast.The following information was generated based on 10 years of historical data on total number of parts sold each year.  Based on this information,we can conclude that sales on average have been growing by more than 48 thousand annually.

Quizplus · Accepted Answer

Based on the trend line in the graph, the average annual growth rate appears to be more than 48 thousand parts.

Renton Industries Makes Replacement Parts for the Automobile Industry