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OBM (Obsolete Business Machines) Inc. wants to forecast 2017's demand for manual typewriters based on the following historical data:
YEAR
DEMAND (x1000)
2013
100
2014
80
2015
55
2016
40
What is OBM's forecast for 2017 using a linear trend equation?
Hint 1: Watch out for subtracting negatives.
Hint 2: Pay attention to units of analysis.
Hint 3: Take care with precision (rounding) in your calculations. In this kind of problem, rounding significantly affects the final answer.
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