Consider the Costello Music Company scenario presented in the (notes below)and the following quarterly sales data. Year Quarter 1 Quarter 2 Quarter 3 Quarter 4 Total Yearly Sales 1 4 2 1 5 12 2 6 4 4 14 28 3 10 3 5 16 34 4 12 9 7 22 50 5 18 10 13 35 76 a. Compute the seasonal indexes for the four quarters. b. What does Costello Music experience the largest seasonal effect? Does this result appear to be reasonable? Explain.
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