Using the naive method (most recent value) as the forecast for the next week,
Question # 00080720
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Updated on: 07/08/2015 10:48 AM Due on: 08/07/2015
1. Consider the following time series data.Week 1 2 3 4 5 6Value 18 13 16 11 17 14Using the naive method (most recent value) as the forecast for the next week, compute thefollowing measures of forecast accuracy.a. Mean absolute error.b. Mean squared error.c. Mean absolute percentage error.d. What is the forecast for week 7?2. Refer to the time series data in Problem 1. Using the average of all the historical data as a forecast for the next period, compute the following measures of forecast accuracy:a. Mean absolute errorb. Mean squared errorc. Mean absolute percentage errord. What is the forecast for week 7?

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Solution: Using the naive method (most recent value) as the forecast for the next week,