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Some aggregate figures concerning the available data are shown in Table 1. The sizes of both the assortment groups and the product groups vary greatly across the groups. In Season 3, the numbers of SKUs in assortment and product groups ranged from 89 to 322 and from 4 to 195, respectively.
Note from Table 1 that the ratio of realized demand to observed preview demand is reasonably constant over the three seasons. This is important, since Methods 1-3 all use this ratio to forecast at the aggregate level.
It also appears from Table 1 that the total registered lost demand increases over time, especially from Season 1 to Season 2. A possible explanation given by the company is that registration of lost demand has improved over the years. However, no estimates on the effect of improved registration were provided. Therefore, and also after checking that more stable lost demand figures did not lead to substantially different results and conclusions, the registered lost demand figures were left unchanged.
Red Lake Mines, Inc. is considering adoption of a new project requiring a net investment of $10 million. The project is expected to generate 5 years of net cash inflows of $5 milli
Top-flop division is based on the idea that the demand percentages of the 'top' and the 'flop' SKUs in a group of SKUs are fairly stable over time. For example, the 33% best-sellin
calculate pv
What is the impact of monetary policy on cost of capital
Problem: Firm 1 produces cars and the total cost of producing q cars is given as C(q) = 2q 2 + 5q. a) Assuming the ?rm operates in a perfectly competitive market. Write down th
Your firm is contemplating the purchase of a new $791,000 computer-based order entry system. The system will be depreciated straight-line to zero over its seven-year life. It will
a) Cookie Monster Inc. (a $15 billion snack food company) is considering acquiring Keebler Elves but is unsure of how much is should be willing to pay for the target firm. At the
From Finance.yahoo.com Part 1: Show the P/E ratio for each company (as reported in finance.yahoo.com). Answer the question: Which of these two firms seems to be more of a "growth
Solution of the Black-Scholes model is obtained through a transformation into a heat equation. The general one-dimensional heat equation is given by where α > 0 is a consta
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