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Assume That the Forecast for the Last Period Is FITt

Question 20

Multiple Choice

Assume that the forecast for the last period is FITt = 200 units, and recent experience suggests a likely sales increase of 10 units each period. Actual sales for the last period reached 230 units. Assuming a smoothing coefficient of a = 0.20 and a trend smoothing coefficient of β = 0.10, what is the BASE forecast for the next period?


A) 210
B) 206
C) 236
D) 226

Correct Answer:

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