Question: The table below compares the accuracy of two forecasting methods used by company XYZ to forecast its monthly sales of one of its product. The

The table below compares the accuracy of two forecasting methods used by company XYZ to forecast its monthly sales of one of its product. The data pertain to the forecast and actual sales levels over a period of 5 months. What is the value of the tracking signal as of the end of May? Which method provides better forecast accuracy?

MONTH ACTUAL SALES Jan Feb Mar Apr May 39 30 40 40

MONTH ACTUAL SALES Jan Feb Mar Apr May 39 30 40 40 39 METHOD A 43 26 39 37 41 FORECAST METHOD B 43 22 37 37 43

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