A Forecasting Method Has Produced the Following Over the Past

question 47

Multiple Choice

A forecasting method has produced the following over the past five months. What is the mean absolute deviation? $$\begin{array} { | c | c | c | c | } \hline \text { Actual } & \text { Forecast } & \text { Error } & \mid \text { Error } \mid \\\hline 10 & 12 & - 2 & 2 \\\hline 8 & 11 & - 3 & 3 \\\hline 10 & 9 & 1 & 1 \\\hline 6 & 6 & 0 & 0 \\\hline 9 & 6 & 3 & 3 \\\hline\end{array}$$

• A) -0.2
• B) -1.0
• C) 0.0
• D) 1.8
• E) 9.0

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