A buyer for men's underwear category tries to project units of sales for next year based upon historical data.The buyer believes that the planner will keep the inventory in stock better this year by size and color,reducing the amount of stock outages from last year.Because of this predicted better in stock position,the buyer forecasts that there will be 4% growth in sales this year over last year.Last year 120,000 units were sold.Assuming that the other factors affecting men's underwear sales last year will be the same,what will be the unit sales projection for this year?

Question

Quizplus · Accepted Answer

Since the sales of staple merchandise are relatively constant from year to year,basing the forecasted sales on last year's numbers is customary.Last year's unit sales * + 4% increase or growth = 120,000 * 1.04 = 124,800

A Buyer for Men's Underwear Category Tries to Project Units