Emily,a custom homebuilder,observes that the last year's sales were $1,500,000 and the sales growth rate for the past several years has been averaging 10 percent.On that basis,Emily predicts that this year's sales should be $1,650,000.Emily is using the method of trend analysis for forecasting sales.

Question

Quizplus · Accepted Answer

The statement describes the use of trend analysis for forecasting sales based on past sales growth rates, which is a valid method. Therefore, the answer is true.

Emily,a Custom Homebuilder,observes That the Last Year's Sales Were $1,500,000