Suppose That Annual Sales for a Company Were $1,200,000 in 1999.The

Multiple Choice

Suppose that annual sales for a company were $1,200,000 in 1999.The annual growth rate of sales from 1999 to 2000 was 16 percent,from 2000 to 2001 it was -5 percent,and from 2001 to 2002 it was 22 percent. The geometric mean growth rate of sales over this three-year period is calculated as 10.37 percent.Use the geometric mean growth rate and determine the forecasted sales for 2004.

A) 1,780,678
B) 1,200,014
C) 1,965,337
D) 1,613,371
E) 1,422,197