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You are hired as a consultant to assess a firms ability to forecast. The firm has developed a point forecast for two different currencies presented
You are hired as a consultant to assess a firms ability to forecast. The firm has developed a point forecast for two different currencies presented in the following table. The firm asks you to determine which currency was forecasted with greater accuracy.
period | Yen forecast | Actual yen value | Dollar forecast | Actual dollar value |
1 | 0.0050 | 0.0051 | 0.60 | 0.61 |
2 | 0.0048 | 0.0052 | 0.62 | 0.61 |
3 | 0.0053 | 0.0052 | 0.63 | 0.65 |
4 | 0.0055 | 0.0056 | 0.58 | 0.62 |
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