Homework SourseAppliance Center sells a variety of electronic equipment and
Appliance Center sells a variety of electronic equipment and home appliances. For the last 4 years, 2010 through 2013, the following quarterly sales (in $ millions) were reported.
Determine a typical seasonal index for each of the four quarters. (Round your answers to 4 decimal places.)
| Quarter | ||||||||
| Year | I | II | III | IV | ||||
| 2010 | 5.3 | 4.2 | 6.9 | 6.5 | ||||
| 2011 | 4.5 | 3.6 | 5.4 | 6.5 | ||||
| 2012 | 4.2 | 3.5 | 5.6 | 6.2 | ||||
| 2013 | 5.6 | 4.5 | 6.4 | 5.5 |
Solution
The average of averages=(4.9+3.95+6.074+6.175)/4=21.1/4=5.275. Seasonal index=[(quarterly average)/(general average)]*100.
| Year/quarter | I | II | III | IV |
| 2010 | 5.3 | 4.2 | 6.9 | 6.5 |
| 2011 | 4.5 | 3.6 | 5.4 | 6.5 |
| 2012 | 4.2 | 3.5 | 5.6 | 6.2 |
| 2013 | 5.6 | 4.5 | 6.4 | 5.5 |
| Total | 19.6 | 15.8 | 24.3 | 24.7 |
| Average | 4.9 | 3.95 | 6.074 | 6.175 |
