Final answer:
The Mean Absolute Percent Error (MAPE) for the provided forecasts is calculated to be 43.372%, based on the absolute percent errors between the forecasted and the actual demand values across five periods.
Step-by-step explanation:
The Mean Absolute Percent Error (MAPE) is a measure of prediction accuracy in a forecasting method. It calculates the average of the absolute percent errors between the forecasted and actual values. To find the MAPE, we:
Let's calculate the MAPE for the given data:
Now, add up these percent errors and divide by the number of periods:
(10% + 2.86% + 60% + 140% + 4%) / 5 = 43.372%
So, the MAPE for these forecasts is 43.372%.