Teton Village contains shops, restaurants and motels. They have two peak seasons, - winter for skiing, and summer, for tourists visiting nearby parks. The specific seasonal with respect to the total sales volume for recent years are: Using the seasonal indexes below, explain the typical index for the fall season.

A) Total sales for the fall season are typically 25.8% below the annual average.
B) Total sales for the fall season are typically 74.2% below the annual average
C) Total sales for the fall season are typically 74.2% above the annual average.
D) Total sales for the fall season are typically 31.2% below the annual average.

Question

Teton Village contains shops, restaurants and motels. They have two peak seasons, - winter for skiing, and summer, for tourists visiting nearby parks. The specific seasonal with respect to the total sales volume for recent years are:

Using the seasonal indexes below, explain the typical index for the fall season.

A) Total sales for the fall season are typically 25.8% below the annual average. 
B) Total sales for the fall season are typically 74.2% below the annual average 
C) Total sales for the fall season are typically 74.2% above the annual average. 
D) Total sales for the fall season are typically 31.2% below the annual average.

Quizplus · Accepted Answer

The seasonal index for the fall season is 0.742. This means that total sales for the fall season typically represent 74.2% of the annual average. To calculate the typical index for fall season sales volume, we subtract this percentage from 100%: 100% - 74.2% = 25.8%. This means that total sales for the fall season are typically 25.8% below the annual average. Therefore, the best choice is A.

Teton Village Contains Shops, Restaurants and Motels