I Using the Ratio-To-Moving-Average Method, Dividing the Actual Sales for a Month

question 31

Multiple Choice

i. Using the ratio-to-moving-average method, dividing the actual sales for a month by the typical
Seasonal for that month results in a figure that includes only trend, cycle and irregular fluctuations.
This procedure is called deseasonalizing the sales.
ii. The reason for deseasonalizing a sales series is to remove trend and cyclical fluctuations so that
We can study seasonal fluctuations.
iii. Knowing the seasonal pattern in the form of indexes allows the retailer to deseasonalize sales.

• A) (i), (ii), and (iii) are all correct statements.
• B) (i) and (ii) are correct statements but not (iii).
• C) (i) and (iii) are correct statements but not (ii).
• D) (ii) and (iii) are correct statements but not (i).
• E) (i), (ii), and (iii) are all false statements.

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Definitions:

Name

A word or set of words by which a person, place, or thing is known, addressed, or referred to.

Frequency

The number of cycles per second of a periodic signal, measured in hertz (Hz).

Sequence

A specific order in which related events, movements, or things follow each other.

Transformer Harmonic Derating Factor

A multiplier used to adjust the rating of a transformer based on the presence of harmonics in the electrical system, to avoid overheating and ensure safe operation.