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January February March April May June 0.90 0.87 0.95 0.93 1.00 1.04 July August September October November December 1.05 1.10 1.12 1.02 1.03 0.99 Interpret

January February March April May June
0.90 0.87 0.95 0.93 1.00 1.04
July August September October November December
1.05 1.10 1.12 1.02 1.03 0.99

  1. Interpret the seasonal index for September. (2 marks)
  2. From the original historical data (1999 - 2003) a trend line of TRt = $5.50 + $0.23t, where t = 1 to 60, was calculated. Assuming a multiplicative seasonal model forecast the cost of a bushel of grapefruits for each of the first six months of 2004. (6 marks)

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