Question 27 0 out of 5 points Quarter Seasonal Index Q1 74.7 Q2 87.9 Q3 108.1 Co
ID: 3230936 • Letter: Q
Question
Question 27
0 out of 5 points
Quarter
Seasonal Index
Q1
74.7
Q2
87.9
Q3
108.1
Coefficients
Intercept
2,360
Time
62.3
Suppose the following are the seasonal indices for the first three quarters of the year for a quarterly series:Quarter
Seasonal Index
Q1
74.7
Q2
87.9
Q3
108.1
Remember that the seasonal indices should average 100 so you should be able to infer the seasonal index for Q4.
Furthermore, suppose that the estimated coeffcients from a regression of the deseasonalized series on Time are given below:
Coefficients
Intercept
2,360
Time
62.3
What is the trend projection of the series for period 50? (please round your answer to 1 decimal place)
Explanation / Answer
as period 50 will fall in 2nd quarter
hence forecast for 50th period =(2360+62.3*50)*87.9/100=4812.5
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