Central States Electric Company estimates its demand trend line (in millions of kilowatt-hours)

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QUESTION:

Central States Electric Company estimates its demand trend line (in millions of kilowatt-hours) to be:

D = 77 + 0.43Q

Where Q refers to the sequential quarter number arid Q = 1 for winter 1986. In addition, the multiplicative seasonal factors are as follows:

Quarter Factor _______________ (Index)

Winter ………………………………. .8

Spring ………………………………. 1.1

Summer …………………….……… 1.4

Fall …………………………….…….. .7

Forecast energy use for the four quarters of 2011, beginning with winter.


 

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