Question: The table provided below represents the absolute deviations for each forecast prepared by the analyst. Absolute Deviations for Forecast 1 ( a = 0 ,

The table provided below represents the absolute deviations for each forecast prepared by the analyst.
Absolute Deviations for
Forecast 1
(a =0,2)
Absolute Deviations for
Forecast 2
(a =0,5)
Absolute Deviations for
Forecast 3
(a =0,8)
Year Sales, (R
millions) Sales, (R millions) Sales, (R millions) Sales, (R millions)
201313---
201419---
2015249.886.2
20163013.84107.24
20174021.071511.45
201845 N 12.57.29
2019280.4910.7515.54
20201710.61 Q 14.11
2021205.495.190.18
2022222.390.59 S
20233612.0913.7014.41
Using the forecasts for the 20152023 period, calculate the mean absolute deviation (MAD) for
Forecast 1, Forecast 2 and Forecast 3.
A. The MAD for Forecast 1, Forecast 2, and Forecast 3 are 10.85 million, 8.72 million, and 9.27 million,
respectively.
B. The MAD for Forecast 1, Forecast 2, and Forecast 3 are 10.85 million, 10.23 million and 8.72 million,
respectively.
C. The MAD for Forecast 1, Forecast 2, and Forecast 3 are 10.23 million, 8.72 million, and 9.27
respectively.
D. The MAD for Forecast 1, Forecast 2, and Forecast 3 are 10.23 million, 9.27 million, and 10.85 million,
respectively.

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