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Forecasting+

Forecasting+ - 20X1 \$15,000,000 20X2 \$14,250,000 20X3...

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Check Point: Forecasting Exercise 9.1 Personnel expenses for the Palmdale Human Service Agency for past four fiscal years: 20x1 \$5,250,000 20x2 \$5,500,000 20x3 \$6,000,000 20x4 \$6,750,000 Using moving averages method the forecast for fiscal year 20x5 is as follows: Fiscal Year 20x2 \$5,500,000 20x3 \$6,000,000 + 20x4 \$6,750,000 \$18,250,000 \$18,250,000 ÷ 3 = \$6,083,330 So the personnel expenses forecast for 20x5 is \$6,083,330 Using the weighted moving averages the forecast for fiscal year 20x5 is as follows: Fiscal Year Weight 20x2 \$5,500,000 1 20x3 \$12,000,000 2 + 20x4 \$20,250,000 +3 \$37,750,000 6 \$37,750,000 ÷ 6 = \$6,291,670 So the personnel expenses forecast for 20x5 is \$6,291,670 Exercise 9.3 Total revenues for the Palmdale Human Service Agency for the past four fiscal years:

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Unformatted text preview: 20X1 \$15,000,000 20X2 \$14,250,000 20X3 \$14,000,000 20X4 \$13,500,000 Using moving averages method the forecast for fiscal year 20x5 is as follows: Fiscal Year 20x2 \$14,250,000 20x3 \$14,000,000 + 20x4 \$13,500,000 \$41,750,000 \$41,750,000 ÷ 3 = \$13,916,670 So the total revenue forecast for 20x5 is \$13,916,670 Using the weighted moving averages the forecast for fiscal year 20x5 is as follows: Fiscal Year Weight 20x2 \$14,250,000 1 20x3 \$28,000,000 2 + 20x4 \$40,500,000 + 3 \$82,750,000 6 \$82,750,000 ÷ 6 = \$13,791,670 So the total revenue forecast for 20x5 is \$13,791,670...
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