The mean absolute deviation (MAD)is used to:
A) estimate the trend line.
B) eliminate forecast errors.
C) measure forecast accuracy.
D) seasonally adjust the forecast.
E) all of the choices.

Question

Quizplus · Accepted Answer

The MAD is a measure of forecast accuracy as it quantifies how far off the forecasted values are from the actual values. It is calculated by finding the average absolute difference between forecasted values and actual values, making it a useful tool for evaluating the effectiveness of forecasting methods.

The Mean Absolute Deviation (MAD)is Used To