Question: Problem 4.23 (page 142 in the text)

a. Sales of vegetable dehydrators at Bus discount department store. Management prepared a forecast using a combination of exponential smoothing and its collective judgement for the 4 months. (March,April, May, and June of 2010);

i. Compute MAD and MAPE for managements technique.

ii. Do managments results outperform a naïve forecast?

iii. Which forecast do you recommend based on lower forecast error