If a quarterly seasonal index is 0.56, it implies that:
A) the quarter's sales are 56% above the yearly average.
B) the quarter's sales are 56% of the year total sales.
C) the other three quarter percentages will total 44%.
D) the quarter's sales are 56% of the yearly average.
E) the quarter's sales are 56% below the yearly average.

Question

Quizplus · Accepted Answer

A quarterly seasonal index of 0.56 indicates that the sales for that quarter are 56% of the yearly average.

If a Quarterly Seasonal Index Is 0