Why is it usually best to supplement the ratio,scatter plot,and trend forecasting methods with managerial judgment?
A)because judgment forecasting is the most accurate method
B)because historical trends and relationships can change
C)because top-down approaches need analytical validation
D)because firms need to keep their fingers on the pulse of their labor markets

Question

Quizplus · Accepted Answer

Historical trends and relationships can change due to various external factors such as economic changes, technological advancements, or changes in consumer behavior. Therefore, supplementing ratio, scatter plot, and trend forecasting methods with managerial judgment can provide a more comprehensive and accurate analysis of the current and future business environment. Managerial judgment involves the use of experience, expertise, and intuition, which can help to identify potential risks and opportunities that may not be reflected in the data-driven methods.

Why Is It Usually Best to Supplement the Ratio,scatter Plot,and