Question

What is an accounting based forecasting model?

Answer #1

Forecasting is done by using the past or present data or historic data to determine the situation or to predict future trends. It is the technique to plan for the future which is essential for any business. Forecasting includes factors such as:

1. Volume of sales

2. Expenses.

3. Investment

4. Profitability

Accounting based forecasting model are the quantitative techniques of forecasting.

1. Time series forecasting- Information is collected to identify trends over a period of time.

2. Proforma Statements- sales figures are used from the previous years after excluding certain one time costs.

3. Moving averages- the average of past data has been taken and project it forward.

4. Regression analysis

5. Exponential smoothing is used ffor the time series data analysis.

What is the difference between an account based forecasting and
driver based forecasting?

What is the difference between account based forecasting and driver
base forecasting

Explain the basics of forecasting. What is the typical
purpose for forecasting? How is a forecasting model typically
developed?

How
to create a forecasting model

What does forecasting involve and what does it enable? (In
Australian Accounting Environment) Discuss in 100 to 120 words

A company is interested in forecasting sales in the final
quarter of the year based on the first three quarters by fitting a
linear regression model.
sales
quarter
227
1
287
2
316
3
what is the proportion of the variability in sales can be
explained by this model?
predict the sales for the fourth quarter

A company is interested in forecasting sales in the final
quarter of the year based on the first three quarters by fitting a
linear regression model.
Sales
170
243
297
Quarter
1
2
3
Firstly, what proportion of the variability in sales can be
explained by the model?
Secondly, predict the sales for the fourth quarter.

Financial Accounting Standards Board (FASB) has supported the
use of asset-based model while building their conceptual framework,
such model has also been adopted while building the International
Accounting Standards Board's (IASB) conceptual framework. Recent
research, however, argues against that model and proposes another
alternative model.
Required:
question
Critically discuss this statement and Explain the advantages
of using alternative approaches?
(Note: Students should rely on one or both of the following
references):
Dichev, I. D. (2008). On the balance sheet-based model...

1.
what is Forecasting?
2. what steps are included in the forecasting process?
3. what is production management?

Please explain why forecasting exchange rate movement is so
difficult by using monetary model.

ADVERTISEMENT

Get Answers For Free

Most questions answered within 1 hours.

ADVERTISEMENT

asked 8 minutes ago

asked 39 minutes ago

asked 49 minutes ago

asked 54 minutes ago

asked 57 minutes ago

asked 1 hour ago

asked 1 hour ago

asked 1 hour ago

asked 1 hour ago

asked 1 hour ago

asked 1 hour ago

asked 1 hour ago