Joe's Equipment Distributors Sells "Low and Loud" Brand Lawnmowers

Joe's Equipment Distributors sells "Low and Loud" brand lawnmowers. Total demand in 2002 is expected to be 2000 units. Given the historical sales figures listed below, derive a forecast for each quarter in 2002.

1. Calculate the average demand per season (average quarterly demand)
2. Calculate a seasonal index for each season of each year: Divide the actual demand of each season by the average demand per season for that year
3. Average the indexes by season; take the average of all Spring indexes, then of all Summer indexes, ...
4. Forecast demand for the next year & divide by the number of seasons. Use regular forecasting method & divide by four for average quarterly demand
5. Multiply next year's average seasonal demand by each average seasonal index; Result is a forecast of demand for each season of next year