Question
You are assisting the management accountant with sales forecast of two brands Y and Z for the next three quarters of 2019. Brand Y has
You are assisting the management accountant with sales forecast of two brands Y and Z for the next three quarters of 2019. Brand Y has a steady, increasing trend in sales of 2% a quarter and Brand Z a steadily falling trend in sales of 3% a quarter. Brand Y are subject to seasonal variations as a proportion to the sales units as follows: Quarter 1 2 3 4 Seasonality -30% 0% -30% 60% Brand Z however is subject to seasonal variations in sales units as follows Quarter 1 2 3 4 Seasonality (in sales unit) -112 10 -70 172 The last four quarters unit sales are shown below: 2018 Q2 2018 Q3 2018 Q4 2019 Q1 Brand Y 331 237 552 246 Brand Z 873 593 1,314 558 Required Produce sales forecast for the remaining three quarters of 2019 for each brand.
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