Question

The table below shows the sales data for the past three years by quarter. The average...

The table below shows the sales data for the past three years by quarter. The average for all the quarters is 1250. Determine the seasonal factor for Quarter 4 (Q4), round your answer to two decimals. Year Q1 Q2 Q3 Q4 2014 1200 1000 1200 1400 2015 1100 1100 1200 1500 2016 1300 1100 1300 1600

A. 0.83

B.1.00

C. 1.20

D. 1500

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Answer #1

average sales of Q4 = average of [Q4 sales for 2014 + Q4 sales for 2015 + Q4 sales for 2016]

= [1400 + 1500 + 1600] / 3 = 1500

seasonal factor for Q4 = average sales of Q4 / average sales of all quarters

= 1500 / 1250

= 1.20

therefore C. 1.20 is correct

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