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For more classes visit www.indigohelp.com Chapter Four Problems 4.23, 4.27, 4.33, and 4.35. 4.23 a) Compute MAD and MAPE for management’s technique b) Do management’s results outperform (i.e., have smaller MAD and MAPE than) a naive forecast? c) Which forecast do you recommend, based on lower forecast error? 4.33 a) Forecast the number of transistors to be made next year, using linear regression. b) Compute the mean squared error (MSE) when using linear regression. c) Compute the mean absolute percent error (MAPE). 4.35 a) Use the model to predict the selling price of a house that is 1,860 square feet.
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