Exponential or Logarithmic Transformations to the Predictor and Criterion Variables

Multiple Choice

Exponential or logarithmic transformations to the predictor and criterion variables are useful for which of the following reasons?

A) Transformations allow regression analysis when the relationship between predictor and criterion is not additive.
B) Transformations allow regression analysis when the relationship between predictor and criterion is nonlinear.
C) Transformations allow regression analysis when the error terms are heteroscedastic.
D) None of the above are valid reasons for transforming predictor and criterion variables.
E) All of the above are valid reasons for transforming predictor and criterion variables.