(Answered) : A car dealer must choose between two alternative forecasting techniques. Both techniques have been used to prepare forecasts for a

A car dealer must choose between two alternative forecasting techniques. Both techniques have been used to prepare forecasts for a six- month period. Using MAD as a criterion, which technique provides a more accurate forecast? These are skill-building exercises. You should provide formulas,_steps,_or reasons to support y given any credit Technique 2 Forecast 495 482 478 488 492 493 Month Demand 492 470 485 493 498 492 Technique 1 Forecast 488 484 480 490 497 493 2 4 5 6
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Expert Answer

Step 1: Calculate Absolute error for each month for each forecast technique.

Absolute error = Actual demand –

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