Answered step by step
Verified Expert Solution
Question
00
1 Approved Answer
1onths May lay Compare the performance of the two methods by using the mean absolute deviation(MAD) as the performance criterion. Which method would you recommend?
1onths May lay Compare the performance of the two methods by using the mean absolute deviation(MAD) as the performance criterion. Which method would you recommend? I would choose 3-month moving average because it has a lower MAD. Both methods are the same because they use the same technique-the moving average technique. I would choose 4-month moving average because it has a lower MAD. I would choose the 4-month moving average because is has a higher MAD Question 4 ( 2 points) Compare the performance of the two methods by using the mean absolute percent error (MAPE) as the performance criterion. Which method would you recommend? MAPE for 3-month moving average is 26.50 and MAPE for 4 -month moving average is 30.69 so the 4-month moving average is better Both use the same technique which is the moving average technique. They have the same figure of 51%, there is no choice to be made. MAPE for 3-month moving average is 26.50 and MAPE for 4 -month moving average is 30.69 so the 3 -month moving average is better
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access with AI-Powered Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started