Consider the following time series. a. Construct a time series plot. 1 Quarter Value -80 W -60 40 Quarter Year 1 Year 2 Year 3 1 71 68 62 2 41 51 60 53 82 78 71 TITT 3 4 49 58 80 800 2 20 Quarter Value Lon Quarter (t) 8 10 12 14 Plot 1 What type of pattern exists in the data? Horizontal b. Use the following dummy variables to develop an estimated regression equation to account for seasonal effects in the data: Qtr1 = 1 if Quarter 1, 0 otherwise; Qtr2 = 1 if Quarter 2 0 otherwise; Qtr3 = 1 if Quarter 3, 0 otherwise. Enter negative values as negative numbers. = + Qtr1 + Qtr2 + c. Compute the quarterly forecasts for next year. Quarter 1 forecast Quarter 2 forecast Quarter 3 forecast Quarter 4 forecast Qtr3 Hint(s) Check My Work (1 remaining)