Hudson Marine is an authorized dealer for C & D marine radios for the past several years. The following table shows the quarterly sales information for the past seven years for Hudson Marine.

Year

Q1

Q2

Q3

Q4

Total

1

6

15

10

4

35

2

10

18

15

7

50

3

14

26

23

12

75

4

19

28

25

18

90

5

22

34

28

21

105

6

24

36

30

20

110

7

28

40

35

27

130

a) Using the overall average approach what are the seasonal indexes for the four quarters?

b) In which quarter does Hudson Marine experience their largest seasonal effect? Does this result seem reasonable? Explain your answer.

c) Use a three-year weighted moving average (weights of 1, 2, and 3) to predict total sales for year 8. What is the expected level of sales?

d) Using your predicted level of sales for year 8, what is the expected level of sales for each quarter?