Question

The demand and forecast of an item for five months are given in the table.

Month	Demand	Forecast
April	225	200
May	220	240
June	285	300
July	290	270
August	250	230

The Mean Absolute Percent Error (MAPE) in the forecast is %.
(round off to two decimal places)

• A. 8.07

Answer 1

The correct option is A 8.07

March	Di	Fi	ei	$|\frac{ei}{Di}\times 100|$
April	225	200	25	11.11%
May	220	240	-20	9.09%
June	285	300	-15	5.26%
July	290	270	20	6.896%
August	250	230	20	8.0%
				$\sum |\frac{e_i}{D_i}\times 100|=40.356$

$MAPE=\frac{\sum |\frac{e_i}{D_i}\times 100|}{n}=8.0712\text{\%}$