Complete the trend analysis for sales for year 3:
Note: Round to the nearest tenth percent.
Year 4 & Year 3 & Year 2 & Year 1 (Base year) \\
$782,143 & $655,211 & $605,000 & $646,133
Multiple Choice
110.2%
109.3%
None of the answer choices are correct.
Answer (2)
Calculate the percentage change in sales from Year 1 to Year 3: 646133 655211 − 646133 × 100 .
Simplify the expression: 646133 9078 × 100 ≈ 1.4049 .
Round the result to the nearest tenth percent: 1.4% .
Since 1.4% is not among the given choices, the final answer is None of the answer choices are correct .
Explanation
Understanding the Problem We are asked to complete the trend analysis for sales for Year 3, using Year 1 as the base year. This means we need to calculate the percentage change in sales from Year 1 to Year 3.
Setting up the Calculation To find the percentage change, we use the formula: Percentage Change = Sales in Year 1 Sales in Year 3 − Sales in Year 1 × 100 We are given: Sales in Year 3 = $655,211 Sales in Year 1 = $646,133
Calculating the Percentage Change Now, we substitute the given values into the formula: Percentage Change = 646133 655211 − 646133 × 100 Percentage Change = 646133 9078 × 100 Percentage Change ≈ 0.014049 × 100 Percentage Change ≈ 1.4049 Rounding to the nearest tenth percent, we get 1.4%.
Final Answer Comparing our calculated percentage change (1.4%) with the multiple-choice options: 110.2% 109.3% None of the answer choices are correct. Since 1.4% is not among the given choices, the correct answer is 'None of the answer choices are correct.'
Examples
Trend analysis is a crucial tool in business for understanding how sales are evolving over time. For instance, a company might track its annual revenue to identify growth patterns or declines. By comparing this year's sales to a base year, the company can determine the percentage change, which helps in making informed decisions about marketing strategies, production levels, and overall business planning. This analysis provides insights into the company's performance and helps in forecasting future trends.
The percentage change in sales from Year 1 to Year 3 is calculated as approximately 1.4%. Since this value does not match the provided options of 110.2% and 109.3%, the correct answer is 'None of the answer choices are correct.'
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