Discuss the below:
Ratio to moving average method
Q: An analyst wants to use the ratio-to-moving average method to forecast a company's sales for the next few quarters. Beginning in Quarter 4 of 2006 , the analyst collects the following sales data (in millions of dollars).
Estimate the seasonal index associated with Quarter 1 . Round your answer to at least three decimal places.
|
Tme
|
Quarter
|
Sales
|
Moving Average
|
|
1
|
4
|
113.2
|
|
|
|
|
|
2
|
1
|
211
|
|
|
|
137.5
|
|
3
|
2
|
132
|
|
|
|
142.4
|
|
4
|
3
|
93.8
|
|
|
|
137.025
|
|
5
|
4
|
132.8
|
|
|
|
135.4
|
|
6
|
1
|
189.5
|
|
|
|
136.225
|
|
7
|
2
|
125.5
|
|
|
|
136.825
|
|
8
|
3
|
97.1
|
|
|
|
154.35
|
|
9
|
4
|
135.2
|
|
|
|
156.2
|
|
10
|
1
|
259.6
|
|
|
|
154.6
|
|
11
|
2
|
132.9
|
|
|
|
|
|
12
|
3
|
90.7
|
|