To assess the adequacy of a forecasting model,one measure that is often used is
A) moving averages.
B) the MAD.
C) exponential smoothing.
D) quadratic trend analysis.

Question

Quizplus · Accepted Answer

The MAD (mean absolute deviation) is a measure of the average magnitude of the errors in a set of forecasts. If the MAD is low, it indicates that the forecast model is accurate and reliable. Therefore, it is a good choice for assessing the adequacy of a forecasting model.

To Assess the Adequacy of a Forecasting Model,one Measure That