Assume That Seasonality Exists in the Monthly Product Sales Data

question 87

Multiple Choice

Assume that seasonality exists in the monthly product sales data. The number of seasonal indexes needed to model this is equal to

• A) 11
• B) 10
• C) 12
• D) 4

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Definitions:

Null Hypothesis

A statement in statistics that suggests no significant difference or effect; it serves as a default assumption to be tested against an alternative hypothesis.

One-way ANOVA

A statistical test that analyzes the differences among three or more group means by comparing within-group variance to between-group variance.

Normally Distributed

Describes a distribution of data where most values cluster around a central mean value, with the distribution tapering off symmetrically towards both extremes.

Weighted Average

An average whereby each quantity to be averaged is assigned a weight, reflecting its importance or frequency relative to other quantities.