The planning department of Padget and Kure Shoes, the manufacturer of an exclusive brand of women's shoes, developed the following trend equation, in millions of pairs, based on five years of quarterly data.
Yˆ = 3.30 + 1.75t
The following table gives the seasonal factors for each quarter.
|
|
Quarter
|
|
I
|
II
|
III
|
IV
|
|
Index
|
110.0
|
120.0
|
80.0
|
90.0
|
Determine the seasonally adjusted forecast for each of the four quarters of the sixth year.