The Micro Chip Computer Corporation Shows a total of net sales for the years of 2000 – 2004. The total net sales have seemed to drop since 2000. I will compute the year-to-year percentage annual growth in total net sales by taking the current year total net sales and subtracting the previous years. I will then multiply that by 100 and then divide that by the previous year’s total net sales. This will give me the annual percentage growth. The formula will be (current year total net sales – previous year total net sales) * 100 / previous year’s total net sales.
Year Net Sales Annual Growth
2000 $11,062
2001 $11,933 (11,933-11,062)*100/11062 = 7.87%
2002 $9,181 (9,181-11,933)*100/11,933 = -23.06%
2003 $6,141 (6,141-9,181)*100/9,181 = -33.11%
2004 $8,334 (8,334-6,141)*100/6,141 = 35.71%
The next step is to compute the total sales forecast with a 10% growth. The total net sales in 200 ...