How To Calculate Seasonal Variation [top] Today

For two years, she ran her business on pure instinct. She’d order extra sprinkles in July and pray for a warm February. But she always seemed to run out of chocolate fudge right when the autumn leaves fell, or get stuck with 50 gallons of pumpkin spice mix after Thanksgiving.

Elena pulled up her tablet. She wrote:

Elena ran a small ice cream shop called "The Frosty Swirl" on the boardwalk of a beach town. Her summers were a glorious whirlwind of waffle cones and long lines. Her winters, however, were a ghost story of creaking floorboards and heating bills. how to calculate seasonal variation

"You're fighting the seasons blindfolded," Leo said, sipping a lukewarm coffee. For two years, she ran her business on pure instinct

Her profit margin increased by 18% not because she sold more ice cream, but because she stopped buying for summer in winter. Elena pulled up her tablet

"Finally," Leo said, "multiply that 'average season' by each Seasonal Index."