Question

Assume the forecast component for July to be the actual value of July minus the initial trend. Let the initial trend be 60 ships. Round your answer to two decimal places if necessary.

A) 60.00
B) 61.00
C) 58.00
D) 59.00

Answer 1

Without the actual value of July provided in the question, it is impossible to calculate the forecast component. The initial trend is given as 60 ships.

Step-by-step explanation:

The forecast component for July can be calculated by taking the actual value of July and subtracting the initial trend. In this case, you provided the initial trend as 60 ships. Without the actual value for July given in the question, it is not possible to compute the forecast component. Therefore, to answer the question correctly, the actual value of July needs to be provided. This calculation is a part of time series analysis often used in business and economics for forecasting future values based on past data.