Finance

Your company designs and manufactures apparel for the North American market. Clothing and apparel is…

Your company designs and manufactures apparel for the North American market. Clothing and apparel is a style good, with a relatively limited life. Items not sold at the end of the season are usually sold through off-season outlet and discount retailers. Items not sold through discounting and off-season merchants are often given to charity or sold abroad.

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a. What forecasts do you need in this business to be successful?

b. Are these short-range or long-range forecasts?

c. What data do you need to be able to generate these forecasts?

d. What are the implications of forecast errors?

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