Chapter Four Problems 4.23, 4.27,
4.33, and 4.35.
4.23
a)
Compute MAD and MAPE for managementâs technique..2pt; font-size: 11px;”>b)
Do managementâs results outperform (i.e., have
smaller MAD and MAPE than) a naive forecast?.2pt; font-size: 11px;”>c.2pt; font-size: 11px;”>)
Which forecast do you recommend, based on lower
forecast error?4.27.2pt;text-indent:-14.2pt;mso-list:l0 level1 lfo1″>.2pt;text-indent:-14.2pt;mso-list:l0 level1 lfo1″>4.33
a)
Forecast the number of transistors to be made next
year, using linear regression..2pt;text-indent:-14.2pt;mso-list:l0 level1 lfo1″>.2pt;text-indent:-14.2pt;mso-list:l0 level1 lfo1″>b)
Compute the mean squared error (MSE) when using
linear regression. .2pt;text-indent:-14.2pt;mso-list:l0 level1 lfo1″>c.2pt;”>) Compute the mean absolute percent error (MAPE)..2pt;”>4.35
a)
Use the model to predict the selling price of a
house that is 1,860 square feet.
b)
A 1,860-square-foot house recently sold for
$95,000. Explain why this is not what the model predicted.2pt; font-size: 11px;”>c)
If you were going to use multiple regression to
develop such a model, what other quantitative variables might you include?.2pt; font-size: 11px;”>d)
If you were going to use multiple regression to
develop such a model, what other quantitative variables might you include?.2pt;text-indent:-14.2pt;mso-list:l0 level1 lfo1″>.2pt;text-indent:-14.2pt;mso-list:l0 level1 lfo1″>
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