The Accuweather Corporation manufactures barometers and thermometers for weather forecasters. In an attempt to forecast
Posted: Sun Jul 03, 2022 6:56 am
The Accuweather Corporation manufactures barometers and thermometers for weather forecasters. In an attempt to forecast its future needs for mercury, Accuweather's chief economist estimated average monthly mercury needs as: N-500 + 10X where N = monthly mercury needs (units) and X = time period in months (January 2008-0). The following monthly seasonal adjustment factors have been estimated using data from the past five years: Month January April July September December (a) (b) Year 2008 2009 2007 Forecast Accuweather's mercury needs for January, April, July, September, and December of 2010. The following actual and forecast values of mercury needs in the month of November have been recorded: Actual 456 324 240 What seasonal adjustment factor should the firm use for November? Forecast 480 360 240 Adjustment Factor 15% 10% -20% 5% -10%