11 DEFINITIONS

Question 1

1) Extrapolation

Answer 1

Uses trends established from Past Data to forecast the Future of Sales

Question 2

2) Four Period Moving Average

Answer 2

An average sales figure calculated by adding 4 periods up and dividing by 4

Question 3

3) Line of Best Fit

Answer 3

A Line that roughly goes through the Middle of all the Scatter Points on a Graph

Question 4

4) Moving Averages

Answer 4

A Series of Averages derived from Segments of a Series of Data

Question 5

5) Quantitative Sales Forecasting

Answer 5

Involves providing an estimation of Future Sales Figures using Past Data

Question 6

6) Scatter Graphs

Answer 6

A graph showing the performance of one variable against another variable to find a correlation

Question 7

7) Three Period Moving Average

Answer 7

An Average Sales Figure calculated by adding 3 Periods up and Dividing by 3

Question 8

8) Average

Answer 8

A Sum of Data divided by the Amount of Data

Question 9

9) (Accounting) Rate of Return

Answer 9

A method of Investment Appraisal that measures the Net Return Annually as a Percentage of the Investment Cost

Question 10

10) Discounted Cash Flow (Net Present Value only)

Answer 10

A method of Investment Appraisal that takes Interest Rates into account by calculating the Present Value, discounted according to the Interest given up

Question 11

11) Investment Appraisal

Answer 11

The Evaluation of an Investment Project to determine where it is worth it