Consider the following tome seriesQuater Year 1 Year 2 Year 31. 71. 68 622. 49. 41. 513. 59. 61. 544. 79. 82. 73

What type of pattern exists in the data? O The time series plot shows a horizontal pattern with no seasonal pattern present. O The time series plot shows a trend pattern with no seasonal pattern present. O The time series plot shows a horizontal pattern, but there is also a seasonal pattern in the data. The time series plot shows a trend pattern, but there is also a seasonal pattern in the data. (b) Use the following dummy variables to develop an estimated regression equation to account for seasonal effects in the data: x, = 1 if quarter 1, 0 otherwise; x, = 1 if quarter 2, 0 otherwise; X, = 1 if quarter 3, 0 otherwise. (c) Compute the quarterly forecasts for next year. quarter 1 forecast quarter 2 forecast quarter 3 forecast quarter 4 forecast