Logo
Home Study Material Contact Search
AI Chat FREE
  1. business
  2. general management
  3. the accounting department needs to forecast the pr

The accounting department needs to forecast the profit for a subsidiary. The data for several months...

70.2K

Verified Solution

Question

General Management

The accounting department needs to forecast the profitfor a subsidiary. The data for several months is supplied below. Becareful since the data is listed beginning with the most recent.The forecasting method to be used here is exponential smoothingwith trend accounting for seasonality given a smoothing constant(alpha) of 0.69, a trend smoothing constant (delta) of 0.3, aprevious trend amount, seasonally adjusted, of 65, and a previousseasonal forecast of 582. Please round your forecast to the nearestwhole number.

Jul 2020: 544Jun 2020: 274May 2020: -1684Apr 2020: 1439Mar 2020: 970Feb 2020: -1689
Jan 2020: 340Dec 2019: 253Nov 2019: 1631Oct 2019: 257Sep 2019: -660Aug 2019: 582
Jul 2019: 2258Jun 2019: 945May 2019: 2580Apr 2019: 704Mar 2019: -1884Feb 2019: 1902
Jan 2019: 1477Dec 2018: 2141Nov 2018: -778Oct 2018: 1609Sep 2018: -1625Aug 2018: 1187
Jul 2018: 2959Jun 2018: -653May 2018: -16Apr 2018: 2132Mar 2018: -979

Answer & Explanation Solved by verified expert
4.2 Ratings (699 Votes)
AnswerFormulasusedFt1 Dt 1FtTt1 Ft1Ft 1TtAFt1 Ft1 Tt1WhereFt1 Unadjusted Forecast for currentperiodDt Sales for previous periodFt Forecast for previous periodTt1 Trend factor for current periodTt Trend factor for previous periodAFt1    See Answer
Get Answers to Unlimited Questions

Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!

Membership Benefits:
  • Unlimited Question Access with detailed Answers
  • Zin AI - 3 Million Words
  • 10 Dall-E 3 Images
  • 20 Plot Generations
  • Conversation with Dialogue Memory
  • No Ads, Ever!
  • Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
Become a Member

Other questions asked by students

Finance
1.2K views

Jim and Susie take out a mortage for $110,000 at 9.5% for 30 years. What are their...

Statistics
1.2K views

b) Interpret the coefficients in the estimated regression model of Sales on Csales. c) Before estimating...

Advance Math
1.2K views

Solve the given initial-value problem. y''' ? 2y'' + y' = 2 ? 24ex + 40e5x,...

Basic Math
1.2K views

Dr. X would like to examine the relative effectiveness of two teaching methods for improving college...

Biology
1.2K views

The intestinal immune system differs from the rest of the immune system in that the...

Basic Math
1.2K views

The cost of producing x bags of dog food is given by C x 700...

Basic Math
1.2K views

2 Determine the approximate degree measure to the nearest tenth K a 1 24 b...

Accounting
1.2K views

42*. Alma Inc. has revenues of $750,000 resulting in an operating income of $52,500. Average...

Accounting
1.2K views

(complete a T1 General Summary as part of your submission for this question)...

Accounting
1.2K views

Given the following conditional value table: States of Nature \table[[Alternatives,\table[[Very Favorable],[Market]],\table[[Average],[Market]],\table[[Unfavorable],[Market]]],[Build new plant,$350,000,$240,000,-$300,000N

Accounting
1.2K views

asap pls At the end of each of the next...

Accounting
1.2K views

The following data relates to the Density Company's first operating period. Calculate cost of goods...