If the seasonal index values for four consecutive quarters are 86.3, 105.6, 99.2, and 100, respectively, then which quarter has the most activity compared with the base quarter? A)Q₁ B)Q₂ C)cannot be determined D)Q₃ E)Q₄

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Quizplus · Accepted Answer

The seasonal index value represents the level of activity in a quarter compared to the base (average) level of activity. The quarter with the highest seasonal index value has the most activity compared to the base quarter. In this case, the second quarter with a seasonal index of 105.6 has the highest value, indicating it has the most activity compared to the base quarter.

If the Seasonal Index Values for Four Consecutive Quarters Are