Question 1

The number of dummy variables must equal 1 less than the number of categories of the qualitative variable.

Accepted Answer

A) True 
 B)False

Question 2

The primary difference between r2 and the adjusted r2 is that

Accepted Answer

A) the adjusted r2 accounts for the total number of variables in the regression model. 
B) the adjusted r2 accounts for the number of independent variables in the regression model. 
C) the adjusted r2 accounts for the number of dependent variables in the regression model. 
D) the adjusted r2 accounts for multicollinearity. 
E) None of the above 
A) the adjusted r2 accounts for the total number of variables in the regression model. 
B) the adjusted r2 accounts for the number of independent variables in the regression model. 
C) the adjusted r2 accounts for the number of dependent variables in the regression model. 
D) the adjusted r2 accounts for multicollinearity. 
E) None of the above

Question 3

An electronics company is looking to develop a regression model to predict the number of units sold for a special running watch.Data is provided below:   Use model building to determine the best prediction equation for Sales,based on highest adjusted r2.

Accepted Answer

Y = 578.87 - 0.10X₁ +

Question 4

With a nonlinear relationship,a ________ is necessary to turn a nonlinear model into a linear model.

Accepted Answer

The answer of With a nonlinear relationship,a ________ is necessary...

Question 5

Which of the following represents the underlying linear model for hypothesis testing?

Accepted Answer

A) Y = b0 + b1 X + ε 
B) Y = b0 + b1 X 
C) Y = β0 + β1 X + ε 
D) Y = β0 + β1 X 
E) None of the above 
A) Y = b0 + b1 X + ε 
B) Y = b0 + b1 X 
C) Y = β0 + β1 X + ε 
D) Y = β0 + β1 X 
E) None of the above

Question 6

The correlation coefficient has values between −1 and +1.

Accepted Answer

A) True 
 B)False

Question 7

There is no relationship between variables unless the data points lie in a straight line.

Accepted Answer

A) True 
 B)False

Question 8

Discuss the relationship between r2 and adjusted r2.

Accepted Answer

The value of r² can never decrease when m

Question 9

The condition of an independent variable being correlated to one or more other independent variables is referred to as

Accepted Answer

A) multicollinearity. 
B) statistical significance. 
C) linearity. 
D) nonlinearity. 
E) The significance level for the F-test is not valid. 
A) multicollinearity. 
B) statistical significance. 
C) linearity. 
D) nonlinearity. 
E) The significance level for the F-test is not valid.

Question 10

The diagram below illustrates data with a

Accepted Answer

A) negative correlation coefficient. 
B) zero correlation coefficient. 
C) positive correlation coefficient. 
D) correlation coefficient equal to +1. 
E) None of the above 
A) negative correlation coefficient. 
B) zero correlation coefficient. 
C) positive correlation coefficient. 
D) correlation coefficient equal to +1. 
E) None of the above

Question 11

A prediction equation for sales and payroll was performed using simple linear regression.In the regression printout shown below,which of the following statements is/are not true?

Accepted Answer

A) Payroll is a good predictor of Sales based on α = 0.05. 
B) There is evidence of a positive linear relationship between Sales and Payroll based on α = 0.05. 
C) Payroll is not a good predictor of Sales based on α = 0.01. 
D) The coefficient of determination is equal to 0.833333. 
E) Payroll is the independent variable. 
A) Payroll is a good predictor of Sales based on α = 0.05. 
B) There is evidence of a positive linear relationship between Sales and Payroll based on α = 0.05. 
C) Payroll is not a good predictor of Sales based on α = 0.01. 
D) The coefficient of determination is equal to 0.833333. 
E) Payroll is the independent variable.

Question 12

What is the difference between simple linear regression models and multiple regression models?

Accepted Answer

Multiple regression

Question 13

Multicollinearity exists when a variable is correlated to other variables.

Accepted Answer

A) True 
 B)False

Question 14

List four pitfalls of regression.

Accepted Answer

If the assumptions are not met,the stati

Question 15

A large school district is reevaluating its teachers' salaries.They have decided to use regression analysis to predict mean teacher salaries at each elementary school.The research has come up with the following prediction equation:
Y = $18012.24 + 1432.37X1 - 4.07 X2 where X1 = Yrs Exp and X2 = Yrs Exp2
(a)If a teacher has 7 years of experience,what is the expected salary?
(b)If teacher has 10 years of experience,what is the expected salary?

Accepted Answer

(a)$18012.24 + 1432.

Question 16

The coefficient of determination gives the proportion of the variability in the dependent variable that is explained by the regression equation.

Accepted Answer

A) True 
 B)False

Question 17

The dependent variable is also called the response variable.

Accepted Answer

A) True 
 B)False

Question 18

The SSE measures the total variability in the independent variable about the regression line.

Accepted Answer

A) True 
 B)False

Question 19

The random error in a regression equation

Accepted Answer

A) is the predicted error. 
B) includes both positive and negative terms. 
C) will sum to a large positive number. 
D) is used to estimate the accuracy of the slope. 
E) is maximized in a least squares regression model. 
A) is the predicted error. 
B) includes both positive and negative terms. 
C) will sum to a large positive number. 
D) is used to estimate the accuracy of the slope. 
E) is maximized in a least squares regression model.

Question 20

If a qualitative variable has three categories,how many dummy variables are needed?

Accepted Answer

A) 0 
B) 1 
C) 2 
D) 3 
E) 4 
A) 0 
B) 1 
C) 2 
D) 3 
E) 4

Exam 4: Regression Models

The number of dummy variables must equal 1 less than the number of categories of the qualitative variable.

The primary difference between r2 and the adjusted r2 is that

An electronics company is looking to develop a regression model to predict the number of units sold for a special running watch.Data is provided below: Use model building to determine the best prediction equation for Sales,based on highest adjusted r2.

With a nonlinear relationship,a ________ is necessary to turn a nonlinear model into a linear model.

Which of the following represents the underlying linear model for hypothesis testing?

The correlation coefficient has values between −1 and +1.

There is no relationship between variables unless the data points lie in a straight line.

Discuss the relationship between r2 and adjusted r2.

The condition of an independent variable being correlated to one or more other independent variables is referred to as

The diagram below illustrates data with a

A prediction equation for sales and payroll was performed using simple linear regression.In the regression printout shown below,which of the following statements is/are not true?

What is the difference between simple linear regression models and multiple regression models?

Multicollinearity exists when a variable is correlated to other variables.

List four pitfalls of regression.

The coefficient of determination gives the proportion of the variability in the dependent variable that is explained by the regression equation.

The dependent variable is also called the response variable.

The SSE measures the total variability in the independent variable about the regression line.

The random error in a regression equation

If a qualitative variable has three categories,how many dummy variables are needed?

Introduction to Quantitative Analysis

Probability Concepts and Applications

Decision Analysis

Forecasting

Inventory Control Models

Linear Programming Models: Graphical and Computer Methods

Linear Programming Applications

Transportation,assignment,and Network Models

Integer Programming,goal Programming,and Nonlinear Programming

Project Management

Waiting Lines and Queuing Theory Models

Simulation Modeling

Markov Analysis

Statistical Quality Control

Analytic Hierarchy Process

Dynamic Programming

Decision Theory and the Normal Distribution

Game Theory

Mathematical Tools: Determinants and Matrices

Calculus-Based Optimization

Linear Programming: The Simplex Method

Transportation, Assignment, and Network Algorithms

Filters

The primary difference between r² and the adjusted r²is that

An electronics company is looking to develop a regression model to predict the number of units sold for a special running watch.Data is provided below: Use model building to determine the best prediction equation for Sales,based on highest adjusted r^2.

Discuss the relationship between r² and adjusted r².