The Trend Equation for Annual Sales Data (In Millions of Dollars)

Multiple Choice

The trend equation for annual sales data (in millions of dollars) is $\ddot{\mathbf{p}}_{t}= 65 + 2.5 t$ , where t = 1 for 2000. The monthly seasonal index for December is 0.97. The forecast sales for December of 2009 is:

A) 90.0.
B) 7.28.
C) 7.50.
D) 7.69.