Question: Problem 5.14 Using MAD, determine whether the forecast in Problem 5-13 or the forecast in the section concerning Wallace Garden Supply is more accurate. ACTUAL


Problem 5.14 Using MAD, determine whether the forecast in Problem 5-13 or the forecast in the section concerning Wallace Garden Supply is more accurate. ACTUAL MONTH SHED Four Month Moving Three Month Moving SALES Average Average January 10 February 12 March 13 April 16 11.67 May 19 12.75 13.67 June 23 15.00 16.00 July 26 17.75 19.33 August 30 21.00 22.67 September 28 24.50 26.33 October 18 26.75 28.00 November 16 25.50 25.33 December 14 23.00 20.67 MAD Since the MAD for the 3-month moving average in the Wallace is 6.48 and the 4-month MAD is 7.78. Therefore, the forecast in the section is more accurate as it has error which means a better method
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