Suppose You Are Interested in Modeling the Amount of Money

Multiple Choice

Suppose you are interested in modeling the amount of money a firm spends on marketing their product.In order to have your results be of interest to a wide audience,you collect data from a variety of firms ranging from those who spend quite little on advertising to those that spend quite a bit.If you model advertising expenditures as a function of gross sales,your results might be subject to:

A) autocorrelation.
B) heteroscedasticity.
C) multicollinearity.
D) specification bias.