Results 1 to 2 of 2

Math Help - Seasonal Index - Statistics(Forecasting)

  1. #1
    Newbie
    Joined
    Jun 2006
    Posts
    4

    Seasonal Index - Statistics(Forecasting)

    Here's the problem:

    The seasonal indices of the sales of garment of a particular type ina certain shop are given below,

    ----------Quarter -------------Seasonal Index

    ------------1----------------------97
    ------------2----------------------85
    ------------3----------------------83
    ------------4----------------------135

    if the total in the first quarter of a year be worth Rs.20,000 and sales are expected to raise by 5% in each quarter, determine how much of garments of this type be kept in stock by the shop owner to meet the demand for each of three quarters of the year?
    Follow Math Help Forum on Facebook and Google+

  2. #2
    Grand Panjandrum
    Joined
    Nov 2005
    From
    someplace
    Posts
    14,972
    Thanks
    4
    Quote Originally Posted by electronic_pen
    Here's the problem:

    The seasonal indices of the sales of garment of a particular type ina certain shop are given below,

    ----------Quarter -------------Seasonal Index

    ------------1----------------------97
    ------------2----------------------85
    ------------3----------------------83
    ------------4----------------------135

    if the total in the first quarter of a year be worth Rs.20,000 and sales are expected to raise by 5% in each quarter, determine how much of garments of this type be kept in stock by the shop owner to meet the demand for each of three quarters of the year?
    The deseasonalised expected sales in quarter 1 are expected to be:

    20000/0.97=20618.6\ (Rs)

    I will assume the question means that the deseasonalised sales will rise by
    5 \% per quarter, so the deseasonalised sales for each quarter
    will be as shown in the second column in the table below, and the
    seasonalised sales (the expected sales in each quarter) are shown in the
    third column:

    Code:
    
      Quarter        Deseasonalised sales          Seasonalised (expected sales)
         1             20618.6                      20618.6*0.97=20000
         2             20618.6*1.05=21649.5         21649.5*0.85=18402
         3             21649.5*1.05=22732.0         22732.0*0.83=18867.6
         4             22732.0*1.05=23868.6         23868.6*1.35=32222.6
    
    This third column is what should be stocked to meet the expected demand.

    RonL
    Follow Math Help Forum on Facebook and Google+

Similar Math Help Forum Discussions

  1. forecasting problem
    Posted in the Advanced Math Topics Forum
    Replies: 1
    Last Post: July 29th 2011, 02:23 AM
  2. [SOLVED] Can anyone help with seasonal index?
    Posted in the Advanced Statistics Forum
    Replies: 0
    Last Post: October 1st 2007, 04:10 PM
  3. Seasonal Index problem.........help me
    Posted in the Business Math Forum
    Replies: 0
    Last Post: June 21st 2006, 02:09 AM
  4. Comparing Seasonal Series - Please help
    Posted in the Advanced Math Topics Forum
    Replies: 0
    Last Post: February 2nd 2006, 04:19 AM
  5. statistics index table
    Posted in the Advanced Statistics Forum
    Replies: 2
    Last Post: June 22nd 2005, 09:06 AM

Search Tags


/mathhelpforum @mathhelpforum