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You collect the past three years of quarterly sales information. Assume that both trend and seasonal factors exist in the underlying demand pattern. Using the
You collect the past three years of quarterly sales information. Assume that both trend and seasonal factors exist in the underlying demand pattern. Using the multiplicative trend and seasonal variation model, you discover the following information: the seasonal factors for each quarter are: and respectively; and your regression analysis on the twelve time periods ie four quarters three years reveals that the intercept is and the slope is What is your forecast for the third quarter of the following year?
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