Question

In: Finance

The sales trend has been modeled as: Sales=3.00 * t + 122.00, where t = time in quarters

The sales trend has been modeled as: Sales=3.00 * t + 122.00, where t = time in quarters, beginning in Q1 2015. Seasonality for the four quarterly periods is given in the table below. Find the seasonalized forecast for Q1 of 2017.

Quarter

Seasonal Factor

Quarter #1

1.10

Quarter #2

0.9000

Quarter #3

0.9000

Quarter #4


Answer format: Number: Round to: 1 decimal places.

Solutions

Expert Solution

1.

De-seasonalized forecast for Qtr 1 2017 = 3 * t + 122 = 3*9+122= 149

Seasonalized forecast for Qtr 1 2017 = 149 * SI for Qtr 1 = 149*1.1 = 163.9


Related Solutions

In a time-series decompostion of sales (in millions of units), the following trend has been estimated:...
In a time-series decompostion of sales (in millions of units), the following trend has been estimated: CMAT=12.315+0.196(T) The seasonal indices have been found to be: Quarter Seasonal Index 1 1.27 2 1.02 3 0.73 4 0.98 For the coming year, the time index and cycle factors are: Quarter T CF 1 21 1.01 2 22 1.04 3 23 1.06 4 24 1.04 a. From this information, prepare a forecast for each quarter of the coming year. b. Actual sales for...
The life time of a dryer machine can be modeled with the probability distribution , where...
The life time of a dryer machine can be modeled with the probability distribution , where x is the time in years and beta is an unknown parameter. Findings that 3 machines life time are after x1, x2, x3 years. 1. what is the likelihood function? 2. assume the observations are x1 = 5, x2 = 6, x3 = 5. Use this information and simplify the likelihood function as much as possible. 3. what is the log-likelihood function, simplified as...
Enrique, service manager at El Carmen, has been noticing a downward trend in sales during the...
Enrique, service manager at El Carmen, has been noticing a downward trend in sales during the night shift on weekends. Enrique also noticed that the amount of steaks and chicken sold had decreased drastically. Enrique checked the customer count for the past four weekends, and realized that the number of customers actually increased. El Carmen does not have an electronic system to record orders and instead uses a duplicate check system where one copy remains with the server and the...
Time series decomposition seeks to separate the time series (Y) into 4 components: trend (T), cycle...
Time series decomposition seeks to separate the time series (Y) into 4 components: trend (T), cycle (C), seasonal (S), and irregular (I). What is the difference between these components? The model can be additive or multiplicative.When we do use an additive model? When do we use a multiplicative model?
Advertising expenditures and sales for the last 5 quarters have been as follows: Quarter Advertising expenditures...
Advertising expenditures and sales for the last 5 quarters have been as follows: Quarter Advertising expenditures Sales 1 1 4 2 1 5 3 2 6 4 2 7 5 4 8 In quarter 3, a new product was introduced that would influence sales in quarter 3. 4 and 5. The following model is established: y=β1x1+β2x2+ ε where y=sales, x1=advertising expenditures, x2 is a variable that is 1 when the new product is available and 0 otherwise, and ε is...
Baird Company has noted that they have increased sales by 75% in the past two quarters...
Baird Company has noted that they have increased sales by 75% in the past two quarters and the sales manager is looking at the end of the year and anticipating a huge bonus because the sales figures are up. The operations manager is looking at the accounts receivable aging report and sees that the company's average collection period on accounts receivable as gone from 14 days to 48 days. What do you think can be the cause of this change...
The general trend of money spent today by consumers has been toward the
Could you please tell me the correct answer. Thanks The general trend of money spent today by consumers has been toward the A. consumption of more and higher property insurance coverage. B. consumption of more domestic manufactured products. C. purchase of separate goods, such as televisions, for each family member. D. buying of more insurance to safeguard potential bankruptcies of financial institutions. E. purchase of more durable goods, such as washing machines, instead of services.
The population of a wildlife habitat is modeled by the equation P(t) = 360/1 + 6.2e−0.35t, where t is given in years. How many animals were originally ...
The population of a wildlife habitat is modeled by the equation P(t) = 360/1 + 6.2e−0.35t, where t is given in years. How many animals were originally transported to the habitat? How many years will it take before the habitat reaches half its capacity?
KPNG Consulting has five projects to consider. Each will require time in the next four quarters...
KPNG Consulting has five projects to consider. Each will require time in the next four quarters according to the table below Project Time in 1st quarter Time in 2nd quarter Time in 3rd quarter Time in 4th quarter Revenue $k A 6 9 3 1 240 B 4 13 6 4 120 C 8 0 8 6 150 D 3 3 1 7 60 E 12 3 4 9 250 Revenue from each project is also shown. Develop a model...
Brain weight B as a function of body weight W in fish has been modeled by...
Brain weight B as a function of body weight W in fish has been modeled by the power function B = 0.007W2/3, where B and W are measured in grams. A model for body weight as a function of body length L (measured in centimeters) is W = 0.12L2.53. If, over 10 million years, the average length of a certain species of fish evolved from 13 cm to 21 cm at a constant rate, how fast was this species' brain...
ADVERTISEMENT
ADVERTISEMENT
ADVERTISEMENT