A manufacturing firm is debating about whether to use the MAD. MFE or the MSE forecast accuracy measure for evaluating different demand forecasting methods. Past experience of the firm suggests that infrequent large forecast errors tend to cause more financial loss than frequentam errors. In light of this, which one of these forecast accuracy measures would you recommend the firm?
a) All of them
b) MSE
c) MAD
d) None of them
e) MFE