Question: Following are two weekly forecasts made by two different methods for the number of litres of gasoline, in thousands, demanded at a local gasoline station.

Following are two weekly forecasts made by two different methods for the number of litres of gasoline, in thousands, demanded at a local gasoline station. Also shown are actual demand levels, in thousands of litres:

Week

Forecasts

Actual Demand

Method 1

Method 2

1

0.85

0.80

0.72

2

1.05

1.20

1.00

3

0.95

0.88

0.96

4

1.22

1.15

1.00

What are the MAD and MSE for each method?

The MAD for Method 1= _____thousand litres (round your response to three decimal places).

The mean squared error (MSE) for Method

1= _____thousand litres2 (round your response to three decimal places).

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