One measure of the accuracy of a forecasting model is the:
A)deseasonalised time series.
B)four-period moving average.
C)mean absolute deviation.
D)smoothing constant.

Question

Quizplus · Accepted Answer

The mean absolute deviation (MAD) is a measure of the accuracy of a forecasting model. It is calculated as the average absolute difference between the forecasted values and the actual values. A lower MAD indicates a more accurate model. The other options mentioned are not directly related to measuring the accuracy of a forecasting model.

One Measure of the Accuracy of a Forecasting Model Is