Savings Mart (a chain of discount department stores) sells patio and lawn furniture. Sales are seasonal, with higher sales during the spring and summer quarters and lower sales during the fall and winter quarters. The company developed the following quarterly sales and forecasting model: Yt = 8.25 + 0.125t – 2.75D1t + .25D2t + 3.50D3t where
Yt = predicted sales ($million) in quarter t
8.25 = quarterly sales ($million) when t = 0
T = time period (quarter) where the fourth quarter of 2002 = 0, first quarter of 2003 = 1, second quarter of 2003 = 2…