Question 1

For the following scatter plot and regression line,at x = 35 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 C

Question 2

Suppose that in a regression analysis,SST = 140,SSR = 35,and SSxy = −23.32.Then the corresponding coefficient of correlation r = ______.

Accepted Answer

A)  0.25 
B)  0.50 
C)  either 0.25 or −0.25, but there is not enough information to determine its sign 
D)  either 0.50 or −0.50, but there is not enough information to determine its sign 
E)  −0.50 
A)  0.25 
B)  0.50 
C)  either 0.25 or −0.25, but there is not enough information to determine its sign 
D)  either 0.50 or −0.50, but there is not enough information to determine its sign 
E)  −0.50 E

Question 3

Louis Katz,a cost accountant at Papalote Plastics,Inc.(PPI),is analyzing the manufacturing costs of a molded 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.     For a lot size of 10,000 handsets,Louis' model predicts total cost will be _____.

Accepted Answer

A)  $4,031.80 
B)  $757.60 
C)  $3,960.20 
D)  $354.01 
E)  $1873.077 
A)  $4,031.80 
B)  $757.60 
C)  $3,960.20 
D)  $354.01 
E)  $1873.077 B

Question 4

One of the assumptions made in simple regression is that ______________.

Accepted Answer

A)  the error terms are normally distributed 
B)  the error terms have unequal variances 
C)  the model is nonlinear 
D)  the error terms are dependent 
E)  the error terms are all equal 
A)  the error terms are normally distributed 
B)  the error terms have unequal variances 
C)  the model is nonlinear 
D)  the error terms are dependent 
E)  the error terms are all equal

Question 5

A manager wishes to predict the annual cost (y)of an automobile based on the number of miles (x)driven. The following model was developed: y = 2,000 + 0.42x. If a car is driven 15,000 miles,the predicted cost is ____________.

Accepted Answer

A)  2,090 
B)  17,000 
C)  8,400 
D)  8,300 
E)  6,300 
A)  2,090 
B)  17,000 
C)  8,400 
D)  8,300 
E)  6,300

Question 6

In a regression analysis if SST = 200 and SSR = 200,r 2 = _________.

Accepted Answer

A)  0.25 
B)  0.75 
C)  0.00 
D)  1.00 
E)  -1.00 
A)  0.25 
B)  0.75 
C)  0.00 
D)  1.00 
E)  -1.00

Question 7

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 8

The equation of the trend line for the data based on sales (in $1000)of a local restaurant over the years 2005-2010 is Sales= -265575+132.571 year.The equation of the trend line when using 1 to 6 for 2005-2010 is ________

Accepted Answer

A)  -265575+132.571x 
B)  132,571x 
C)  97.284+132.571x 
D)  -263571+98x 
E)  2004+37.2x 
A)  -265575+132.571x 
B)  132,571x 
C)  97.284+132.571x 
D)  -263571+98x 
E)  2004+37.2x

Question 9

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 10

The range of admissible values for the coefficient of determination is −1 to +1.

Accepted Answer

A) True 
 B)False

Question 11

Consider the following scatter plot and regression line.At x = 50,the residual (error term)is _______.

Accepted Answer

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

Question 12

Abby Kratz,a market specialist at the market research firm of Saez,Sikes,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.     For a household with $50,000 annual income,Abby's model predicts monthly grocery expenditures of ________________.

Accepted Answer

A)  $150.35 
B)  $50.35 
C)  $1,959.29 
D)  $128.65 
E)  $1286.50 
A)  $150.35 
B)  $50.35 
C)  $1,959.29 
D)  $128.65 
E)  $1286.50

Question 13

If a scatter plot of variables X and Y shows a trend that can be summarized to a large degree by a straight line with slope 0.8 and y-intercept 0.2 (i.e.,Y = 0.2 + 0.8X),then the correlation coefficient between X and Y is ______.

Accepted Answer

A)  0.8, and there is a causal relation between X and Y (either X causes Y or Y causes X) 
B)  0.2, and there is a causal relation between X and Y (either X causes Y or Y causes X) 
C)  0.8, but there is no causal relation between X and Y 
D)  0.2, but there is no causal relation between X and Y 
E)  0.8, and there may be a causal relation between X and Y, but not necessarily 
A)  0.8, and there is a causal relation between X and Y (either X causes Y or Y causes X) 
B)  0.2, and there is a causal relation between X and Y (either X causes Y or Y causes X) 
C)  0.8, but there is no causal relation between X and Y 
D)  0.2, but there is no causal relation between X and Y 
E)  0.8, and there may be a causal relation between X and Y, but not necessarily

Question 14

Regression output from Minitab software directly displays the regression equation.

Accepted Answer

A) True 
 B)False

Question 15

Annie Mikhail,market analyst for a national company specializing in historic city tours,is analyzing the relationship between the sales revenue from historic city tours and the size of the city.She gathers data from six cities in which the tours are offered.Annie's dependent variable is annual sales revenues and her independent variable is the city population.Regression analysis of the data yielded the following tables.     
Using $\alpha$ = 0.05,Annie 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 16

Abby Kratz,a market specialist at the market research firm of Saez,Sikes,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.     Abby's sample size (n)is __________.

Accepted Answer

A)  8 
B)  10 
C)  11 
D)  20 
E)  12 
A)  8 
B)  10 
C)  11 
D)  20 
E)  12

Question 17

The strength of a linear relationship in simple linear regression change if the units of the data are converted,say from feet to inches.

Accepted Answer

A) True 
 B)False

Question 18

Abby Kratz,a market specialist at the market research firm of Saez,Sikes,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.    
 Using $\alpha$ = 0.05,Abby should ________________.

Accepted Answer

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

Question 19

The assumption of constant error variance in regression analysis is called _______.

Accepted Answer

A)  heteroscedasticity 
B)  homoscedasticity 
C)  residuals 
D)  linearity 
E)  nonnormality 
A)  heteroscedasticity 
B)  homoscedasticity 
C)  residuals 
D)  linearity 
E)  nonnormality

Question 20

If the correlation coefficient between two variables is -1,it means that the two variables are not related.

Accepted Answer

A) True 
 B)False

For the following scatter plot and regression line,at x = 35 the residual is _______.

Suppose that in a regression analysis,SST = 140,SSR = 35,and SS_xy = −23.32.Then the corresponding coefficient of correlation r = ______.

One of the assumptions made in simple regression is that ______________.

A manager wishes to predict the annual cost (y)of an automobile based on the number of miles (x)driven. The following model was developed: y = 2,000 + 0.42x. If a car is driven 15,000 miles,the predicted cost is ____________.

In a regression analysis if SST = 200 and SSR = 200,r ² = _________.

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).

The equation of the trend line for the data based on sales (in $1000)of a local restaurant over the years 2005-2010 is Sales= -265575+132.571 year.The equation of the trend line when using 1 to 6 for 2005-2010 is ________

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

The range of admissible values for the coefficient of determination is −1 to +1.

Consider the following scatter plot and regression line.At x = 50,the residual (error term)is _______.

If a scatter plot of variables X and Y shows a trend that can be summarized to a large degree by a straight line with slope 0.8 and y-intercept 0.2 (i.e.,Y = 0.2 + 0.8X),then the correlation coefficient between X and Y is ______.

Regression output from Minitab software directly displays the regression equation.

The strength of a linear relationship in simple linear regression change if the units of the data are converted,say from feet to inches.

The assumption of constant error variance in regression analysis is called _______.

If the correlation coefficient between two variables is -1,it means that the two variables are not related.

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

A Nalysis 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

For the following scatter plot and regression line,at x = 35 the residual is _______.

Suppose that in a regression analysis,SST = 140,SSR = 35,and SSxy = −23.32.Then the corresponding coefficient of correlation r = ______.

One of the assumptions made in simple regression is that ______________.

A manager wishes to predict the annual cost (y)of an automobile based on the number of miles (x)driven. The following model was developed: y = 2,000 + 0.42x. If a car is driven 15,000 miles,the predicted cost is ____________.

In a regression analysis if SST = 200 and SSR = 200,r 2 = _________.

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).

The equation of the trend line for the data based on sales (in $1000)of a local restaurant over the years 2005-2010 is Sales= -265575+132.571 year.The equation of the trend line when using 1 to 6 for 2005-2010 is ________

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

The range of admissible values for the coefficient of determination is −1 to +1.

Consider the following scatter plot and regression line.At x = 50,the residual (error term)is _______.

If a scatter plot of variables X and Y shows a trend that can be summarized to a large degree by a straight line with slope 0.8 and y-intercept 0.2 (i.e.,Y = 0.2 + 0.8X),then the correlation coefficient between X and Y is ______.

Regression output from Minitab software directly displays the regression equation.

The strength of a linear relationship in simple linear regression change if the units of the data are converted,say from feet to inches.

The assumption of constant error variance in regression analysis is called _______.

If the correlation coefficient between two variables is -1,it means that the two variables are not related.

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

A Nalysis 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

Suppose that in a regression analysis,SST = 140,SSR = 35,and SS_xy = −23.32.Then the corresponding coefficient of correlation r = ______.

In a regression analysis if SST = 200 and SSR = 200,r ² = _________.

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).