Problem 3-21 (Algo) Two different forecasting techniques (F1 and F2) were used to forecast demand for cases of bottled water. Actual demand and the two sets of forecasts are as follows: Demand 68 75 Period 1 2 3 4 5 6 7 PREDICTED DEMAND F1 F2 61 66 72 66 73 70 73 75 77 67 73 72 76 75 80 74 69 72 89 78 Click here for the Excel Data File a. Compute MAD for each set of forecasts. Given your results, which forecast appears to be more accurate? (Round your answers to 2 decimal places.) Answer is complete and correct. MAD F1 4.88 3.38 MAD F2 Answer is complete and correct. appears to be more accurate, F2 b. Compute the MSE for each set of forecasts. Given your results, which forecast appears to be more accurate? (Round your answers to 2 decimal places.) MSE F1 MSE F2 Answer is complete and correct. F2 appears to be more accurate, c. In practice, either MAD or MSE would be employed to compute forecast errors. What factors might lead a manager to choose one rather than the other? Answer is complete and correct. Either one might already be in use, familiar to users, and have past values for comparison. control charts are used, MSE would be natural; if tracking signals are used, MAD would be more natural. d. Compute MAPE for each data set. Which forecast appears to be more accurate? (Round your Intermediate calculations to 2 decimal places and and final answers to 2 decimal places.) MAPE F1 MAPE F2 Answer complete and correct. F2 appears to be more accurate