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Time Series & Trend · Question 14 of 68

Which component is the two-wheeler maker's festive jump each October and November?

Question 14

EasyOriginal question

A two-wheeler maker studies its monthly sales from 2010 to 2025. It notes four features: sales jump every October and November in the festival season; over the fifteen years they climb steadily as incomes rise; they sag for two or three years at a stretch when the wider economy slows, then recover; and they collapsed in April 2020 when a nationwide lockdown shut its showrooms.

Which component is the two-wheeler maker's festive jump each October and November?

Options for question 14

Show the answer and explanation
CorrectNot quiteAnswer A

Correct answer: A

Explanation

  1. It comes back at the same time every year.

  2. A movement that repeats within each year is seasonal.

Worth noting

It is not irregular: it can be predicted from the calendar.

Concept
Seasonal variation
Typical time
90 s
Your time
—
The rule this testsComponents of a time series
Practise this chapter →

Ten questions from Time Series & Trend, at your own pace.

Practise this chapter →

Ten questions from Time Series & Trend, at your own pace.