Question 1

_____________ refers to the data set used to compare model forecasts and ultimately pick a model for predicting values of the dependent variable.

Accepted Answer

A) Codomain 
B) Training set 
C) Validation set 
D) Range 
A) Codomain 
B) Training set 
C) Validation set 
D) Range C

Question 2

The ____________________ is a measure of the error that results from using the estimated regression equation to preduct the values of the dependent variable in the sample

Accepted Answer

A) sum of squares due to regression (SSR) 
B) error term 
C) sum of squares due to error (SS
E)  
D) residual 
A) sum of squares due to regression (SSR) 
B) error term 
C) sum of squares due to error (SS
E)  
D) residual C

Question 3

The prespecified value of the independent variable at which its relationship with the dependent variable changes in a piecewise linear regression model is referred to as the

Accepted Answer

A) milestone. 
B) knot. 
C) tipping point. 
D) watchpoint. 
A) milestone. 
B) knot. 
C) tipping point. 
D) watchpoint. B

Question 4

The graph of the simple linear regression equation is a(n)

Accepted Answer

A) ellipse. 
B) hyperbola. 
C) parabola. 
D) straight line. 
A) ellipse. 
B) hyperbola. 
C) parabola. 
D) straight line.

Question 5

Assessing the regression model on data other than the sample data that was used to generate the model is known as

Accepted Answer

A) approximation. 
B) cross-validation. 
C) graphical validation. 
D) postulation. 
A) approximation. 
B) cross-validation. 
C) graphical validation. 
D) postulation.

Question 6

The multiple regression model represents pricing for residential housing in a certain market. Predicted Price ̂ = 19,856.56 + 6,985.25 bedrooms + 87.53 square foot. A house in the local market has 4 bedrooms and 2,200 square feet of living area. Use the multiple regression model to determine the predicted price.

Accepted Answer

The answer of The multiple regression model represents pricing for...

Question 7

The scatter chart below displays the residuals verses the dependent variable, x. Which of the following conclusions can be drawn based upon this scatter chart? ​

Accepted Answer

A) The residuals have a constant variance. 
B) The model captures the relationship between the variables accurately. 
C) The model underpredicts the value of the dependent variable for intermediate values of the independent variable. 
D) The residual distribution is not normally distributed. 
A) The residuals have a constant variance. 
B) The model captures the relationship between the variables accurately. 
C) The model underpredicts the value of the dependent variable for intermediate values of the independent variable. 
D) The residual distribution is not normally distributed.

Question 8

The multiple regression model represents pricing for residential housing in a certain market. Predicted Price = 19,856.56 + 6985.25 bedrooms + 87.53 square foot. A house in the local market has 4 bedrooms and 2500 square feet of living area. Use the multiple regression model to determine the predicted price.

Accepted Answer

The answer of The multiple regression model represents pricing for...

Question 9

A procedure for using sample data to find the estimated regression equation is

Accepted Answer

A) point estimation. 
B) interval estimation. 
C) the least squares method. 
D) extrapolation. 
A) point estimation. 
B) interval estimation. 
C) the least squares method. 
D) extrapolation.

Question 10

The degree of correlation among independent variables in a regression model is called

Accepted Answer

A) multicollinearity. 
B) interaction. 
C) the coefficient of determination. 
D) the sum of squared errors (SS
E) . 
A) multicollinearity. 
B) interaction. 
C) the coefficient of determination. 
D) the sum of squared errors (SS
E) .

Question 11

__________________ refers to the use of sample data to calculate a range of values that is believed to include the value of the population parameter.

Accepted Answer

A) Interval estimation 
B) Hypothesis testing 
C) Statistical inference 
D) Point estimation 
A) Interval estimation 
B) Hypothesis testing 
C) Statistical inference 
D) Point estimation

Question 12

The least squares regression line minimizes the sum of the

Accepted Answer

A) differences between actual and predicted y values. 
B) absolute deviations between actual and predicted y values. 
C) absolute deviations between actual and predicted x values. 
D) squared differences between actual and predicted y values 
A) differences between actual and predicted y values. 
B) absolute deviations between actual and predicted y values. 
C) absolute deviations between actual and predicted x values. 
D) squared differences between actual and predicted y values

Question 13

A normally distributed error term with mean of zero would

Accepted Answer

A) have values that are symmetric about the variance. 
B) allow more accurate modeling. 
C) yield biased regression estimates. 
D) be a hyperbolic curve. 
A) have values that are symmetric about the variance. 
B) allow more accurate modeling. 
C) yield biased regression estimates. 
D) be a hyperbolic curve.

Question 14

Consider the below data which is based on a company's sales in the period 2000 to 2011 along with the national income of the country, where the business is set up. $$\begin{array} { | c | c | c | } 
\hline \text { Year } & \begin{array} { c } 
\text { National Income } \
\text { (in millions of } \
\text { dollars) } \boldsymbol { x }
\end{array} & \begin{array} { c } 
\text { Company's sales } \
\text { (in thousands of } \
\text { dollars) } \boldsymbol { y }
\end{array} \
\hline 2000 & 305 & 470 \
\hline 2001 & 316 & 485 \
\hline 2002 & 358 & 499 \
\hline 2003 & 350 & 515 \
\hline 2004 & 375 & 532 \
\hline 2005 & 392 & 532 \
\hline 2006 & 400 & 556 \
\hline 2007 & 398 & 576 \
\hline 2008 & 430 & 583 \
\hline 2009 & 456 & 587 \
\hline 2010 & 578 & 601 \
\hline 2011 & 498 & 605 \
\hline
\end{array}$$ 
a. Develop a scatter chart for these data, treating the national income as the independent variable. Does a simple linear regression model appear to be appropriate?
b. Develop an appropriate estimated regression equation to predict the company's sales, given the national income. How much variation in the sample values of company's sales is explained by this regression model

Accepted Answer

a. The scatter chart with national incom

Question 15

The _____________ is an indication of how frequently interval estimates based on samples of the same size taken from the same population using identical sampling techniques will contain the true value of the parameter we are estimating.

Accepted Answer

A) residual 
B) tolerance factor 
C) confidence level 
D) accuracy level 
A) residual 
B) tolerance factor 
C) confidence level 
D) accuracy level

Question 16

A student is interested in studying the impact of number of books referred by students on a statistics course and the number of lectures they attended on the final grade on the course. A sample of 25 students is selected and the data is given below. $$\begin{array} { | c | c | c | } 
\hline \text { BOOKS } & \text { AT TEND } & \text { GRADE } \
\hline 2 & 17 & 60 \
\hline 3 & 18 & 54 \
\hline 1 & 17 & 62 \
\hline 5 & 20 & 59 \
\hline 2 & 12 & 44 \
\hline 1 & 13 & 40 \
\hline 3 & 17 & 96 \
\hline 4 & 19 & 90 \
\hline 5 & 22 & 97 \
\hline 2 & 22 & 54 \
\hline 5 & 22 & 91 \
\hline 1 & 12 & 48 \
\hline 3 & 18 & 91 \
\hline 1 & 12 & 65 \
\hline 4 & 21 & 82 \
\hline 5 & 14 & 61 \
\hline 3 & 18 & 54 \
\hline 3 & 13 & 46 \
\hline 1 & 8 & 64 \
\hline 5 & 22 & 90 \
\hline
\end{array}$$ 
a. Develop an estimated regression equation using number of books referred and the number of lectures attended to predict the final grade on the course.
b. Joseph referred 4 books and attended 19 lectures. What is his predicted final score on the course?

Accepted Answer

a. The following Excel output provides t

Question 17

The data listed below is the average personal income and personal consumption expenditures based on the survey
conducted in the year 1995 to 2009 in U.S. $$\begin{array}{l}
\begin{array} { | c | c | } 
\hline \text { Personal income } & \text { Personal consumption }\
\mathbf { ( \$ ) } & \text { expenditures } ( \$ \mathbf { \$ } ) \
\hline 23,310 & 18,714 \
\hline 24,444 & 19,569 \
\hline 25,657 & 20,414 \
\hline 27,260 & 21,434 \
\hline 28,336 & 22,738 \
\hline 30,317 & 24,227 \
\hline 31,162 & 25,074 \
\hline 31,448 & 25,865 \
\hline 32,282 & 26,848 \
\hline 33,872 & 28,228 \
\hline 35,423 & 29,818 \
\hline 37,723 & 31,210 \
\hline 39,418 & 32,551 \
\hline 40,156 & 33,273 \
\hline 39,113 & 32,853 \
\hline
\end{array}
\end{array}$$ 
a. What is the 95 percent confidence interval for the regression parameter β1? Based on this interval, what
conclusion can you make about the hypotheses that the regression parameter β1 is equal to zero?
d. What is the 95 percent confidence interval for the regression parameter β0? Based on this interval, what
conclusion can you make about the hypotheses that the regression parameter β0 is equal to zero?

Accepted Answer

a. First we check the conditions necessa

Question 18

A survey is conducted to determine whether the age of car influences the annual maintenance cost. A sample of 10 cars is selected and the data is shown below. $$\begin{array} { | c | c | } 
\hline \text { Age of car (months) } \boldsymbol { x } & \begin{array} { c } 
\text { Annual Maintenance } \
\text { Cost (\$) } \boldsymbol { y }
\end{array} \
\hline 3 & 120 \
\hline 5 & 115 \
\hline 6 & 135 \
\hline 7 & 290 \
\hline 9 & 275 \
\hline 10 & 300 \
\hline 11 & 350 \
\hline 13 & 475 \
\hline 14 & 500 \
\hline 15 & 550 \
\hline
\end{array}$$ 
a. Test whether each of the regression parameters β0 and β1 is equal to zero at a 0.05 level of significance.
b. Interpret the estimated regression parameters? Are these interpretations reasonable?

Accepted Answer

a. First we check the conditions necessa

Question 19

_____ is a statistical procedure used to develop an equation showing how two variables are related.

Accepted Answer

A) Regression analysis 
B) Data mining 
C) Time series analysis 
D) Factor analysis 
A) Regression analysis 
B) Data mining 
C) Time series analysis 
D) Factor analysis

Question 20

A survey is conducted to determine whether the age of car influences the annual maintenance cost. A sample of 10
cars is selected and the data is shown below. $$\begin{array} { | c | c | } 
\hline \text { Age of car (months) } \boldsymbol { x } & \begin{array} { c } 
\text { Annual Maintenance } \
\text { Cost (\$) } \boldsymbol { y }
\end{array} \
\hline 3 & 120 \
\hline 5 & 115 \
\hline 6 & 135 \
\hline 7 & 290 \
\hline 9 & 275 \
\hline 10 & 300 \
\hline 11 & 350 \
\hline 13 & 475 \
\hline 14 & 500 \
\hline 15 & 550 \
\hline
\end{array}$$ 
a. Develop a scatter chart for these data with age of cars as the independent variable. What does the scatter chart
indicate about the relationship between age of a car and the annual maintenance cost?
b. Use the data to develop an estimated regression equation that could be used to predict the annual maintenance
cost given the age of the car. What is the estimated regression model?

Accepted Answer

c. The scatter chart with age of cars as

_____________ refers to the data set used to compare model forecasts and ultimately pick a model for predicting values of the dependent variable.

The ____________________ is a measure of the error that results from using the estimated regression equation to preduct the values of the dependent variable in the sample

The prespecified value of the independent variable at which its relationship with the dependent variable changes in a piecewise linear regression model is referred to as the

The graph of the simple linear regression equation is a(n)

Assessing the regression model on data other than the sample data that was used to generate the model is known as

The scatter chart below displays the residuals verses the dependent variable, x. Which of the following conclusions can be drawn based upon this scatter chart?

A procedure for using sample data to find the estimated regression equation is

The degree of correlation among independent variables in a regression model is called

__________________ refers to the use of sample data to calculate a range of values that is believed to include the value of the population parameter.

The least squares regression line minimizes the sum of the

A normally distributed error term with mean of zero would

The _____________ is an indication of how frequently interval estimates based on samples of the same size taken from the same population using identical sampling techniques will contain the true value of the parameter we are estimating.

_____ is a statistical procedure used to develop an equation showing how two variables are related.

Introduction

Descriptive Statistics

Data Visualization

Descriptive Data Mining

Probability: an Introduction to Modeling Uncertainty

Statistical Inference

Time Series Analysis and Forecasting

Predictive Data Mining

Spreadsheet Models

Linear Optimization Models

Integer Linear Optimization Models

Nonlinear Optimization Models

Monte Carlo Simulation

Decision Analysis

Filters

Exam 7: Linear Regression

_____________ refers to the data set used to compare model forecasts and ultimately pick a model for predicting values of the dependent variable.

The ____________________ is a measure of the error that results from using the estimated regression equation to preduct the values of the dependent variable in the sample

The prespecified value of the independent variable at which its relationship with the dependent variable changes in a piecewise linear regression model is referred to as the

The graph of the simple linear regression equation is a(n)

Assessing the regression model on data other than the sample data that was used to generate the model is known as

The scatter chart below displays the residuals verses the dependent variable, x. Which of the following conclusions can be drawn based upon this scatter chart? ​

A procedure for using sample data to find the estimated regression equation is

The degree of correlation among independent variables in a regression model is called

__________________ refers to the use of sample data to calculate a range of values that is believed to include the value of the population parameter.

The least squares regression line minimizes the sum of the

A normally distributed error term with mean of zero would

The _____________ is an indication of how frequently interval estimates based on samples of the same size taken from the same population using identical sampling techniques will contain the true value of the parameter we are estimating.

_____ is a statistical procedure used to develop an equation showing how two variables are related.

Introduction

Descriptive Statistics

Data Visualization

Descriptive Data Mining

Probability: an Introduction to Modeling Uncertainty

Statistical Inference

Time Series Analysis and Forecasting

Predictive Data Mining

Spreadsheet Models

Linear Optimization Models

Integer Linear Optimization Models

Nonlinear Optimization Models

Monte Carlo Simulation

Decision Analysis

Filters

The scatter chart below displays the residuals verses the dependent variable, x. Which of the following conclusions can be drawn based upon this scatter chart?