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    Ratio to Moving Average Method

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    An analyst wants to use the ratio-to-moving average method to forecast a company's sales for the next few quarters. Beginning in Quarter 2 of 2005 , the analyst collects the following sales data (in millions of dollars).
    Estimate the seasonal index associated with Quarter 4. Round your answer to at least three decimal places.

    keywords: averages, moving-average

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    Solution Summary

    The solution provides step by step method for the calculation of seasonal index using ratio to moving average method. Formula for the calculation and Interpretations of the results are also included. Interactive excel sheet is included. The user can edit the inputs and obtain the complete results for a new set of data.