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How a Model is Fitted

Module · How a Model is Fitted

Knowledge check

Check: what is the model actually scoring?

4 questions · Pass at 60%

1. Squared error and absolute error are fitted to the same 200 markets, and they return different slopes. Which line is the better one?
2. One market that spent almost nothing on TV and sold a great deal is added to the file. Which line moves further, and why?
3. You are forecasting stock for one warehouse, where being 500 units short once is far worse than being 20 units off twenty times. Which cost fits that?
4. A cost function and an objective function differ how?