Describe two ways in which forecasting accuracy can be evaluated.© BrainMass Inc. brainmass.com October 10, 2019, 7:58 am ad1c9bdddf
Way of Evaluating Forecasting Accuracy
Scaled Error Method: It is an important method for evaluating forecast accuracy across series of different scales. It provides scaling of error on the basis of training MAE (mean absolute error) from a simple forecast method. Following is the formula to identify scaled error for a non-seasonal time series:
(See attachment for formula)
Here, qj is ...
This response provides brief description on two ways of evaluating Forecasting Accuracy using a formula to identify scaled error for a non-seasonal time series.