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The following specific percentage seasonal factors (SF) are calculated for the month of January based on historical data: 86.8%, 96.9%, 72.6%, 80.0%, 85.4%. Assume multiplicative decomposition model is used and the expected trend-cycle (i.e., the depersonalized data) for January is $900.
1. If the median seasonal factors is used as seasonal index (SI), then what is the seasonal index for January?
2. Assuming the SI calculated in part a) is already normalized (together with SI's from other seasons), what is the forecast for the whole year?
3. Actual sales for the year were $12,000. Calculate the percentage error for the entire year.
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