I a Variable Whose Possible Outcomes Are Coded as a "1

Multiple Choice

i. A variable whose possible outcomes are coded as a "1" or a "0" is called a dummy variable. ii. If the null hypothesis $\beta$ ₄ = 0 is not rejected, then the independent variable X₄ has no effect in predicting the dependent variable.
iii. A dummy variable is added to the regression equation to control for error.

A) (i) , (ii) , and (iii) are all correct statements.
B) (i) and (ii) are correct statements but not (iii) .
C) (i) and (iii) are correct statements but not (ii) .
D) (ii) and (iii) are correct statements but not (i) .
E) (i) , (ii) , and (iii) are all false statements.