Question: Problem 18-20 (Algo) 5 In this problem, you are to test the validity of your forecasting model. Here are the forecasts for a model you

Problem 18-20 (Algo) 5 In this problem, you are

Problem 18-20 (Algo) 5 In this problem, you are to test the validity of your forecasting model. Here are the forecasts for a model you have been using and the actual demands that occurred: 3.26/5 points awarded Scored WEEK 1 2 3 4 5 6 FORECAST 860 760 860 860 910 885 ACTUAL 910 910 960 810 810 1,030 a. Use the method stated in the text to compute the MAD and tracking signal for each week. (Negative values should be indicated by a minus sign. Round your "Tracking Signal" to 1 decimal place and all other answers to the nearest whole number.) Week Forecast Actual Deviation Absolute Deviation 1 910 50 860 760 50 150 2 910 Running Sum of Forecast Errors 50 200 300 250 150 295 Sum of Mean Absolute Absolute Deviation Deviation 50 50 200 100 300 100 250 X 63 X 150 X 30 X 295 X 49 X Tracking Signal 0.6 % 2.0 3.0 4.0 X 5.0 X 6.0 X 3 860 150 100 (50) (100) 145 960 810 4 860 100 (50) X (100) 145 5 810 910 885 6 1,030 b. Decide whether the forecasting model you have been using is giving reasonable results. The forecasting model is acceptable The forecasting model is unacceptable

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