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Anuta_ua [19.1K]
3 years ago
11

Two methods are used to predict how many customers will call in for help in the next four days. The first method predicts the nu

mbers of callers to be 23, 5, 14, and 20 for the four respective days. The second method predicts 20, 13, 14, and 20 for the four respective days. The actual numbers of callers turn out to be 23, 10, 15, and 19. Which method has the smaller mean absolute percentage error (MAPE)?
Mathematics
1 answer:
Maru [420]3 years ago
8 0

Answer:

The Second Method

Step-by-step explanation:

APE (Absolute Percentage Error) = absolute difference / actual * 100

APE for First method = 61.93

APE for second method = 54.97

MAPE (Mean absolute Percentage error) =  Sum of absolute Percentage error/ Number of observations. ( i.e., 4)

Then,

MAPE for the first method = 61.93 / 4 = 15.482

MAPE for  the second method = 54.97 / 4 = 13.472

So, MAPE for second method is less than the MAPE for first method.

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