A Time Series Regression Equation for a Surfboard Manufacturing Company

Multiple Choice

A time series regression equation for a surfboard manufacturing company in Australia is given below: Y = 35 + 4Q₁ + 0.5Q₃ + 8Q₄ + 3t
With t in quarters and the origin is December 2010 and Q₁ is the indicator variable for March, Q₃ is the indicator variable for September and Q₄ is the indicator variable for December.
Which of the following statements is correct?

A) The overall general movement of number of surfboards sold by this company is positive because the coefficients of the indicator variables are positive.
B) The overall general movement of number of surfboards sold by this company is positive because the intercept is positive.
C) The overall general movement of number of surfboards sold by this company is positive because the coefficient of time t is positive.
D) None of these choices are correct.