Business Analyst: National Motors began selling the Luxora—its new mo

The analyst's argument is based solely on the data for June-August: if 80,000 Luxoras were sold in that 3-month time period, then we would expect a total of 4x80,000 to sell in the model’s first twelve months (80,000 per quarter) -- that's only 320,000, which is far short of the 500,000 target.

Notice that price doesn't have any bearing on this argument. Whether Luxoras are more expensive or less expensive doesn't change the data. In other words, regardless of where the Luxora's price falls on National's spectrum, the analyst will make the same exact argument.

But (A) points to a possible wrench in that argument. If new-car sales are typically lower in the summer months than at any other time of the year, that means that National will probably sell MORE than 80,000 in the other three quarters. And that means that total sales will likely be higher than 320,000 and will perhaps break the 500,000 level.

Knowing the answer to (A) wouldn't definitively tell us whether the analysts' prediction will come true, but it would certainly help us to evaluate the reasoning behind that prediction.

I hope that helps!