What should be the preferred way of forming the rev expectation and rev standard deviation? Thanks. Best regards, Erica

Hi Erica! Thanks for reaching out. Both the formula used for predicting the revenue expectation, as well as the standard deviation percentage, are usually obtained thanks to the combination between the historical data your company has at hand and the your business/economic intuition. In the lecture, we've assumed certain mean and standard deviation values to show how to use such data to make revenue predictions using Python. Hope this helps. Best, Martin

Follow this topic

Erica Ko

Last answered:

24 Oct 2021

Posted on:

21 Oct 2021

Resolved: About the rev expectations

in Python for Finance / Monte Carlo: Predicting Gross Profit - Part I

1 answers ( 1 marked as helpful)

Martin Ganchev

Instructor

Posted on:

24 Oct 2021

Helpful answer

Resolved: About the rev expectations

Submit an answer