The quarterly sales of Banana Brands International, Inc., from the first quarter of 2003 through the second quarter of 2005 are as follows:

Banana Brands’ products include bananas, other fruits, and packaged meats.

a. Plot these sales over time.

b. Do you detect any seasonality in Banana Brands’ sales? What do you envision to be the pattern of Banana Brands’ cash flows?

c. Looking at your graph, what sales do you predict for Banana Brands for the third quarter of 2006?

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Quarter Sales in Millions Quarter Sales in Millions 1Q03 $895 4Q04 $1,050 2Q03 1,023 1Q05 1,179 3Q03 903 2Q05 1,256 4Q03 1,004 3Q05 1,036 1Q04 1,025 4Q05 1,156 2Q04 1,137 1Q06 1,158 3Q04 1,060 2Q06 1,230