Question 1

The assumptions underlying simple regression analysis include ___.

Accepted Answer

A) the error terms are exponentially distributed 
B) the error terms have unequal variances 
C) the model is nonlinear 
D) the error terms are dependent 
E) the error terms are independent 
A) the error terms are exponentially distributed 
B) the error terms have unequal variances 
C) the model is nonlinear 
D) the error terms are dependent 
E) the error terms are independent

Question 2

A manager wishes to predict the annual cost (y)of an automobile based on the number of kilometres (x)driven.The following model was developed: y = 1,550 + .36x.If a car is driven 20,000 kilometres, the predicted cost is ___.

Accepted Answer

A) 7,200 
B) 5,650 
C) 8,750 
D) 2,270 
E) 6,750 
A) 7,200 
B) 5,650 
C) 8,750 
D) 2,270 
E) 6,750

Question 3

A researcher has developed a regression model from fourteen pairs of data points.He wants to test to determine if the slope is significantly different from zero.He uses a two-tailed test and $\alpha$= 0.01.The critical table t value is ___.

Accepted Answer

A) 2.650 
B) 3.012 
C) 3.055 
D) 2.718 
E) 2.168 
A) 2.650 
B) 3.012 
C) 3.055 
D) 2.718 
E) 2.168

Question 4

Alan Nip, market analyst for Clear Sound Mart, is analyzing the relation between heavy metal CD sales and the size of the teenage population.He gathers data from six sales districts.Alan's dependent variable is annual heavy metal CD sales (in $1,000,000's), and his independent variable is teenage population (in 1,000's).Regression analysis of the data yielded the following tables:     For a sales district with 20,000 teenagers, Alan's model predicts annual CD sales of ___.

Accepted Answer

A) $1,947.08 
B) $2,104.04 
C) $2,103,900 
D) $1,962,340 
E) $2,908,089 
A) $1,947.08 
B) $2,104.04 
C) $2,103,900 
D) $1,962,340 
E) $2,908,089

Question 5

The coefficient of correlation in a simple regression analysis is = - 0.6.The coefficient of determination for this regression would be ___.

Accepted Answer

A) 0.6 
B) - 0.6 or + 0.6 
C) 0.13 
D) - 0.36 
E) 0.36 
A) 0.6 
B) - 0.6 or + 0.6 
C) 0.13 
D) - 0.36 
E) 0.36

Question 6

For following scatter plot and regression line, at x = 65 the residual is ___.

Accepted Answer

A) positive 
B) zero 
C) negative 
D) imaginary 
E) unknown 
A) positive 
B) zero 
C) negative 
D) imaginary 
E) unknown

Question 7

A t test is used to determine whether the coefficients of the regression model are significantly different from zero.

Accepted Answer

A) True 
 B)False

Question 8

Louis Tang, a cost accountant at Prime Plastics, Inc.(PPI), is analyzing the manufacturing costs of a moulded plastic telephone handset produced by PPI.Louis's independent variable is production lot size (in 1,000's of units), and his dependent variable is the total cost of the lot (in $100's).Regression analysis of the data yielded the following tables:     Using $\alpha$ = 0.05, Louis should ___.

Accepted Answer

A) increase the sample size 
B) suspend judgment 
C) not reject H0: $\beta$1 = 0 
D) reject H0: $\beta$1 = 0 
E) do not reject H0: $\beta$0 = 0 
A) increase the sample size 
B) suspend judgment 
C) not reject H0: $\beta$1 = 0 
D) reject H0: $\beta$1 = 0 
E) do not reject H0: $\beta$0 = 0

Question 9

From the following scatter plot, we can say that between y and x there is ___.

Accepted Answer

A) perfect positive correlation 
B) virtually no correlation 
C) positive correlation 
D) negative correlation 
E) perfect negative correlation 
A) perfect positive correlation 
B) virtually no correlation 
C) positive correlation 
D) negative correlation 
E) perfect negative correlation

Question 10

The total of the squared residuals is called the ___.

Accepted Answer

A) coefficient of determination 
B) sum of squares of error 
C) standard error of the estimate 
D) R-squared 
E) coefficient of correlation 
A) coefficient of determination 
B) sum of squares of error 
C) standard error of the estimate 
D) R-squared 
E) coefficient of correlation

Question 11

For a certain data set the regression equation is y = 21 - 8x.The correlation coefficient between y and x in this data set ___.

Accepted Answer

A) must be 0 
B) is negative 
C) must be 1 
D) is positive 
E) must be >1 
A) must be 0 
B) is negative 
C) must be 1 
D) is positive 
E) must be >1

Question 12

A manager wishes to predict the annual cost (y)of an automobile based on the number of kilometres (x)driven.The following model was developed: y = 1,550 + 0.36x.If a car is driven 15,000 kilometres, the predicted cost is ___.

Accepted Answer

A) 2090 
B) 3850 
C) 7400 
D) 6950 
E) 5400 
A) 2090 
B) 3850 
C) 7400 
D) 6950 
E) 5400

Question 13

The difference between the actual y value and the predicted y value found using a regression equation is called the residual.

Accepted Answer

A) True 
 B)False

Question 14

The F value to test the overall significance of a regression model is computed by dividing the sum of squares regression (SSreg)by the sum of squares error (SSerr).

Accepted Answer

A) True 
 B)False

Question 15

In regression, the variable that is being predicted is usually referred to as the independent variable.

Accepted Answer

A) True 
 B)False

Question 16

The first step in simple regression analysis usually is to construct a scatter plot.

Accepted Answer

A) True 
 B)False

Question 17

A standard deviation of the error of the regression model is called the ___.

Accepted Answer

A) coefficient of determination 
B) sum of squares of error 
C) standard error of the estimate 
D) R-squared 
E) coefficient of correlation 
A) coefficient of determination 
B) sum of squares of error 
C) standard error of the estimate 
D) R-squared 
E) coefficient of correlation

Question 18

Abby Kuntz, a market specialist at the market research firm of Saez, Gann, and Spitz, is analyzing household budget data collected by her firm.Abby's dependent variable is monthly household expenditures on groceries (in $'s), and her independent variable is annual household income (in $1,000's).Regression analysis of the data yielded the following tables:     The correlation coefficient between the two variables in this regression is ___.

Accepted Answer

A) 0.682478 
B) -0.83 
C) 0.83 
D) -0.68 
E) 1.0008 
A) 0.682478 
B) -0.83 
C) 0.83 
D) -0.68 
E) 1.0008

Question 19

Alan Nip, market analyst for Clear Sound Mart, is analyzing the relation between heavy metal CD sales and the size of the teenage population.He gathers data from six sales districts.Alan's dependent variable is annual heavy metal CD sales (in $1,000,000's), and his independent variable is teenage population (in 1,000's).Regression analysis of the data yielded the following tables:     Using $\alpha$ = 0.05, Alan should ___.

Accepted Answer

A) increase the sample size 
B) not reject H0: $\beta$1 = 0 
C) reject H0: $\beta$1 = 0 
D) suspend judgment 
E) reject H0: $\beta$0 = 0 
A) increase the sample size 
B) not reject H0: $\beta$1 = 0 
C) reject H0: $\beta$1 = 0 
D) suspend judgment 
E) reject H0: $\beta$0 = 0

Question 20

The numerical value of the coefficient of determination must be ___.

Accepted Answer

A) between -1 and +1 
B) between -1 and 0 
C) between 0 and 1 
D) equal to SSE/(n - 2) 
E) between -100 and +100 
A) between -1 and +1 
B) between -1 and 0 
C) between 0 and 1 
D) equal to SSE/(n - 2) 
E) between -100 and +100

The assumptions underlying simple regression analysis include ___.

A manager wishes to predict the annual cost (y)of an automobile based on the number of kilometres (x)driven.The following model was developed: y = 1,550 + .36x.If a car is driven 20,000 kilometres, the predicted cost is ___.

A researcher has developed a regression model from fourteen pairs of data points.He wants to test to determine if the slope is significantly different from zero.He uses a two-tailed test and $\alpha$ = 0.01.The critical table t value is ___.

The coefficient of correlation in a simple regression analysis is = - 0.6.The coefficient of determination for this regression would be ___.

For following scatter plot and regression line, at x = 65 the residual is ___.

A t test is used to determine whether the coefficients of the regression model are significantly different from zero.

From the following scatter plot, we can say that between y and x there is ___.

The total of the squared residuals is called the ___.

For a certain data set the regression equation is y = 21 - 8x.The correlation coefficient between y and x in this data set ___.

A manager wishes to predict the annual cost (y)of an automobile based on the number of kilometres (x)driven.The following model was developed: y = 1,550 + 0.36x.If a car is driven 15,000 kilometres, the predicted cost is ___.

The difference between the actual y value and the predicted y value found using a regression equation is called the residual.

The F value to test the overall significance of a regression model is computed by dividing the sum of squares regression (SS_reg)by the sum of squares error (SS_err).

In regression, the variable that is being predicted is usually referred to as the independent variable.

The first step in simple regression analysis usually is to construct a scatter plot.

A standard deviation of the error of the regression model is called the ___.

The numerical value of the coefficient of determination must be ___.

Introduction to Statistics

Charts and Graphs

Descriptive Statistics

Probability

Discrete Distributions

Continuous Distributions

Sampling and Sampling Distributions

Statistical Inference: Estimation for Single Populations

Statistical Inference: Hypothesis Testing for Single Populations

Statistical Inferences About Two Populations

Analysis of Variance and Design of Experiments

Multiple Regression Analysis

Building Multiple Regression Models

Time-Series Forecasting and Index Numbers

Analysis of Categorical Data

Nonparametric Statistics

Statistical Quality Control

Decision Analysis

Filters

Exam 12: Simple Regression Analysis and Correlation

The assumptions underlying simple regression analysis include ___.

A manager wishes to predict the annual cost (y)of an automobile based on the number of kilometres (x)driven.The following model was developed: y = 1,550 + .36x.If a car is driven 20,000 kilometres, the predicted cost is ___.

A researcher has developed a regression model from fourteen pairs of data points.He wants to test to determine if the slope is significantly different from zero.He uses a two-tailed test and α\alphaα = 0.01.The critical table t value is ___.

The coefficient of correlation in a simple regression analysis is = - 0.6.The coefficient of determination for this regression would be ___.

For following scatter plot and regression line, at x = 65 the residual is ___.

A t test is used to determine whether the coefficients of the regression model are significantly different from zero.

From the following scatter plot, we can say that between y and x there is ___.

The total of the squared residuals is called the ___.

For a certain data set the regression equation is y = 21 - 8x.The correlation coefficient between y and x in this data set ___.

A manager wishes to predict the annual cost (y)of an automobile based on the number of kilometres (x)driven.The following model was developed: y = 1,550 + 0.36x.If a car is driven 15,000 kilometres, the predicted cost is ___.

The difference between the actual y value and the predicted y value found using a regression equation is called the residual.

The F value to test the overall significance of a regression model is computed by dividing the sum of squares regression (SSreg)by the sum of squares error (SSerr).

In regression, the variable that is being predicted is usually referred to as the independent variable.

The first step in simple regression analysis usually is to construct a scatter plot.

A standard deviation of the error of the regression model is called the ___.

The numerical value of the coefficient of determination must be ___.

Introduction to Statistics

Charts and Graphs

Descriptive Statistics

Probability

Discrete Distributions

Continuous Distributions

Sampling and Sampling Distributions

Statistical Inference: Estimation for Single Populations

Statistical Inference: Hypothesis Testing for Single Populations

Statistical Inferences About Two Populations

Analysis of Variance and Design of Experiments

Multiple Regression Analysis

Building Multiple Regression Models

Time-Series Forecasting and Index Numbers

Analysis of Categorical Data

Nonparametric Statistics

Statistical Quality Control

Decision Analysis

Filters

A researcher has developed a regression model from fourteen pairs of data points.He wants to test to determine if the slope is significantly different from zero.He uses a two-tailed test and $\alpha$ = 0.01.The critical table t value is ___.

The F value to test the overall significance of a regression model is computed by dividing the sum of squares regression (SS_reg)by the sum of squares error (SS_err).