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Q. Production Planning in demand forecast period ?
Long term production planning can assist the management in organising long term finances on practical terms and conditions. Study of long term sales is accorded greater importance as compared with short-term sales. Long term sales forecast facilitates the management to take a few policy decisions of huge importance and any mistake carried out in this could be very costly or different to be corrected.
Therefore, the complete success of an organisation usually is contingent upon the quality and authenticity of sales forecasting methods.
Decrease in Demand At the initial equilibrium price P 1 , quantity demanded falls from q 1 to q d . But the quantity supplied is still q 1 at this price. Hence, this
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Consider a manufactured good whose production process generates pollution. The annual demand for the good is given by Qd=100-3P. The annual market supply is given by Qs=P. In both
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