Question

Sales of Volkswagen's popular Beetle have grown steadily at auto dealerships in Nevada during the past 5 years (see table below). Year Sales 455 510 520 575 575 4 5

a) Forecasted sales for year 6 using the trend projection​ (linear regression) method are (???) sales ​(round your response to one decimal​ place).

b) What is the​ MAD?

c) What is the​ MSE?

Answer 1

(a)

Year	Sales	Forecast
1	455	466.0
2	510	496.5
3	520	527.0
4	575	557.5
5	575	588.0
6		618.5

A B C 2 Year Sales 3 1 455 TREND(SC$3:$C$7,$B$3:$B$7,B3) 4 2 510 TREND(SC$3:$C$7,SB$3:$B$7,B4] 5 3520 TREND(SC$3:$C$7,$B$3:$B$7,B5) 6 4 575 TREND($C$3:$C$7,$BS3SB$7B6) 7 5 575 -TREND($C$3:$C$7,SB$3:$B$7,B7) 8 6 Forecast TREND(SC$3:$C$7,SB$3:SB$7,B8)

(b) & (c)

Year	Sales	Forecast	Error	|Error|	Error^2
1	455	466.0	-11.0	11	121.0
2	510	496.5	13.5	13.5	182.3
3	520	527.0	-7.0	7	49.0
4	575	557.5	17.5	17.5	306.3
5	575	588.0	-13.0	13	169.0
6		618.5
Averages				12.40	165.50
				MAD	MSE