Question: This data is for forecasting future sale considering additive seasonality approach and answer related questions. Time Year Season Sale 1 2018 Q1 1 2 Q2

This data is for forecasting future sale considering additive seasonality approach and answer related questions.

Time

Year

Season

Sale

1

2018

Q1

1

2

Q2

7

3

Q3

3

4

Q4

2

5

2019

Q1

6

6

Q2

8

7

Q3

1

8

Q4

9

PART a) What is the seasonality index for second season (Q2) ?

Part b)

Assume that we run the regression for the deseasonalized data after calculating seasonality index . We find that regression line slope is 0.4 , and intercept is 2.8. By considering the slope and intercept, what is your final forecast for second season of 2020 by considering both trend and seasonality?

Part c)

Slope = 0.4, intercept =2.8 for deseasonalized data, what is the absolute error of second season of 2018?

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