A forecaster that uses a holdout set approach as a final test for forecast accuracy typically uses:
A. the entire data set available to develop the forecast.
B. the older observations in the data set to develop the forecast and more recent to check accuracy.
C. the newer observations in the data set to develop the forecast and older observations to check accuracy.
D. every other observation to develop the forecast and the remaining observations to check the accuracy.
Answer:B
A forecaster that uses a holdout set approach as a final test for forecast accuracy typically uses:
A. the entire data set available to develop the forecast. B. the older observations in the data set to develop the forecast and more recent to check accuracy. C. the newer observations in the data set to develop the forecast and older observations to check accuracy. D. every other observation to develop the forecast and the remaining observations to check the accuracy.