Question

Jill estimated she would spend $50.00 a month on clothing. However, at the end of the year she discovered she actually spent $711.00 on clothing that year. What was her forecast error for that budget item?Hint 12 months in a year

Answer 1

50$ per month for 12 years would mean she spent only (50 x 12) 600$ per year.

She actually spent $711, her forecast was off target by (600-7111) $111.

She exceeded her budget by $111