PEV 2009 Task 1.3
Julietta100
Registered Posts: 13 New contributor 🐸
Hello I'm completely lost with this one... Looked at the answers and I'm ever more confused... F.ex. in a)The cost per 1,000kg of beans was 1,200 in sept. Seasonal variation was (200) so they are saying that trend would be 1,400... So the negative seasonal variation has been added to the cost?? Why then in b) the negtive seasonal var. has been deducted... Any help would be greatly aprreciated...
P.s. Ahhh that's the PEV December 2009
P.s. Ahhh that's the PEV December 2009
0
Comments

In a you are working out the underlying trend, while in b you work from the underlying trend to the actual figures.
Underlying trend plus seasonal variations is actual costs
Actual costs less seasonal variations is underlying trend0 
Thank you for the reply=) I'm probably being really thick right now but just to make sure...
If calculating underlying trend you add the negative variations and deduct the positives and if calculating the actual figures the other way round?? And yes I do realise how high the level of my ignorance has risen by asking this :P0 
Seasonal Variations; I suppose it's sort of a bit like selling patio furniture.
During the spring demand would be growing, so there would be a + effect on sales
In the summer demand is high, so there would be a +++ effect on sales.
In the autumn, demand would be waning, so there would be a  (minus) demand for patio furniture.
During the winter, there would demand would be (minus) demand for garden furniture.
Patio furniture would be available all year around, it's just that there isn't necessarily always the demand, so this is reflected through the use of seasonal variations.
The demand for Christmas trees would have a completely different seasonal variation, with demand being extremely high from 1  24 December, then disappearing completely for the other 48.5 weeks of the year!!!!FMAAT  AAT Licensed Member in Practice  Pewsey, Wiltshire0 
Julietta100 wrote: »Thank you for the reply=) I'm probably being really thick right now but just to make sure...
If calculating underlying trend you add the negative variations and deduct the positives and if calculating the actual figures the other way round?? And yes I do realise how high the level of my ignorance has risen by asking this
Yes, that's exactly what you do. Don't think you're being ignorant asking something on here, we all ask things that other people know the answers to, that's why this forum worksFMAAT  AAT Licensed Member in Practice  Pewsey, Wiltshire0 
Ah thank you muchlyyyyyyyyyyyy both of you!! I hope I'll still remember it tomorrow =P0
Categories
 All Categories
 1.2K Books to buy and sell
 2.3K General discussion
 12.5K For AAT students
 318 NEW! Qualifications 2022
 156 General Qualifications 2022 discussion
 11 AAT Level 2 Certificate in Accounting
 56 AAT Level 3 Diploma in Accounting
 92 AAT Level 4 Diploma in Professional Accounting
 8.8K For accounting professionals
 23 coronavirus (Covid19)
 272 VAT
 92 Software
 274 Tax
 136 Bookkeeping
 7.2K General accounting discussion
 201 AAT member discussion
 3.8K For everyone
 38 AAT news and announcements
 345 Feedback for AAT
 2.8K Chat and offtopic discussion
 582 Job postings
 16 Who can benefit from AAT?
 36 Where can AAT take me?
 42 Getting started with AAT
 26 Finding an AAT training provider
 48 Distance learning and other ways to study AAT
 25 Apprenticeships
 66 AAT membership