Answer :
Final answer:
To calculate the absolute error for Year 4, the forecasted value for Year 4 is required. Absolute error = |3800 - 3450| = 350
Explanation:
The absolute error for a forecasting problem is calculated by taking the absolute value of the difference between the forecasted value and the actual value. In the given data set, the forecast for Year 4 is not provided, thus we cannot determine the absolute error for Year 4 without knowing the forecasted value. If the forecasted value for Year 4 was given, the calculation would simply be the absolute value of the difference between that forecasted number and the actual value which is 3800 for Year 4. Absolute error is determined by taking the absolute difference between the forecasted value and the actual value. In this case, for Year 4:
Forecasted value = 3800
Actual value = 3450
Absolute error = |3800 - 3450| = 350
