Absolute error The numerical difference between a forecasted quantity and the actual result is known as absolute error.

Important topics covered in this part are Accuracy, Precision, Errors of Measurements, Types of Errors, Absolute Error, Relative Error and Percentage Error, Combination of Errors, Significant ...

Expressed as a percentage, relative error takes the price of the investment (or other quantity) into consideration when expressing the difference between a forecasted value and actual value.