Sales for boxes of Girl Scout cookies over a 4-month period were forecasted as follows: 100,120,115,and 123.The actual results over the 4-month period were as follows: 110,114,119,115.What was the MAD of the 4-month forecast?
A)0
B)5
C)7
D)108
E)None of the above

Question

Quizplus · Accepted Answer

MAD is calculated as the average of the absolute difference between the forecasted and actual values.

Month 1: |100-110| = 10
Month 2: |120-114| = 6
Month 3: |115-119| = 4
Month 4: |123-115| = 8

Average = (10+6+4+8)/4 = 7

Therefore, the MAD of the 4-month forecast is 7, and the best choice is C.

Sales for Boxes of Girl Scout Cookies Over a 4-Month