# BSOP 330 Week 2 Lab, 4.23, 4.27, 4.33, and 4.35

Chapter Four Problems 4.23, 4.27, 4.33, and 4.35.

4.23

a) Compute MAD and MAPE for managements technique.

.2pt; font-size: 11px;”>b) Do managements results outperform (i.e., have smaller MAD and MAPE than) a naive forecast?

.2pt; font-size: 11px;”>c.2pt; font-size: 11px;”>) Which forecast do you recommend, based on lower forecast error?

4.27
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4.33

a) Forecast the number of transistors to be made next year, using linear regression.
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b) Compute the mean squared error (MSE) when using linear regression.
.2pt;text-indent:-14.2pt;mso-list:l0 level1 lfo1″>c.2pt;”>) Compute the mean absolute percent error (MAPE).

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4.35

a) Use the model to predict the selling price of a house that is 1,860 square feet.

b) A 1,860-square-foot house recently sold for \$95,000. Explain why this is not what the model predicted

.2pt; font-size: 11px;”>c) If you were going to use multiple regression to develop such a model, what other quantitative variables might you include?

.2pt; font-size: 11px;”>d) If you were going to use multiple regression to develop such a model, what other quantitative variables might you include?
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