BUSI 3304: Chapter 7 Quiz

_____ is a statistical procedure used to develop an equation showing how two variables are related. a.Data mining b.Factor analysis c.Regression analysis d.Time series analysis

c.Regression analysis

A _____ is used to visualize sample data graphically and to draw preliminary conclusions about the possible relationship between the variables. a.Gantt chart b.scatter chart c.contingency table d.pie chart

b. scatter chart

Fitting a model too closely to sample data, resulting in a model that does not accurately reflect the population is termed as _____. a.hypothesizing b.approximation c.overfitting d.postulating

c. overfitting

_____ refers to the scenario in which the relationship between the dependent variable and one independent variable is different at different values of a second independent variable. a.Autocorrelation b.Covariance c.Interaction d.Multicollinearity

c.Interaction

_____ refers to the use of sample data to calculate a range of values that is believed to include the value of the population parameter. a.Hypothesis testing b.Point estimation c.Interval estimation d.Statistical inference

c.Interval estimation

_____ refers to the degree of correlation among independent variables in a regression model. a.Tolerance b.Rank c.Multicollinearity d.Confidence level

c.Multicollinearity

The scatter chart below displays the residuals versus the dependent variable, x. Which of the following conclusions can be drawn based upon this scatter chart? ​ panel (b) a.The model overpredicts the value of the dependent variable for small values and large values of the independent variable. b.The residuals are normally distributed. c.The model fails to capture the relationship between the variables accurately. d.The residuals have a constant variance.

c.The model fails to capture the relationship between the variables accurately.

Prediction of the value of the dependent variable outside the experimental region is called _____. a.interpolation b.averaging c.extrapolation d.forecasting

c.extrapolation

The degree of correlation among independent variables in a regression model is called _____. a.interaction b.the coefficient of determination c.multicollinearity d.the sum of squared errors (SSE)

c.multicollinearity

A regression analysis involving one independent variable and one dependent variable is referred to as a _____. a.factor analysis b.data mining c.simple linear regression d.time series analysis

c.simple linear regression

A procedure for using sample data to find the estimated regression equation is _____. a.point estimation b.extrapolation c.the least squares method d.interval estimation

c.the least squares method

Assessing the regression model on data other than the sample data that was used to generate the model is known as _____. a.cross-validation b.graphical validation c.postulation d.approximation

a.cross-validation

In a linear regression model, the variable that is being predicted or explained is known as _____. It is denoted by y and is often referred to as the response variable. a.dependent variable b.residual variable c.independent variable d.regression variable

a.dependent variable

Regression analysis involving one dependent variable and more than one independent variable is known as ____. a.multiple regression b.linear regression c.None of these are correct. d.simple regression

a.multiple regression aka Multiple linear regression

The scatter chart below displays the residuals versus the dependent variable, x. Which of the following conclusions can be drawn from the scatter chart given below? panel(a)​ a.The residual distribution is consistently scattered about zero. b.The residuals have an increasing variance as the dependent variable increases. c.The model captures the relationship between the variables accurately. d.The regression model follows the standard normal probability distribution.

b.The residuals have an increasing variance as the dependent variable increases.

A variable used to model the effect of categorical independent variables in a regression model which generally takes only the value zero or one is called _____. a.a residual b.a dummy variable c.interaction d.the coefficient of determination

b.a dummy variable

The difference between the observed value of the dependent variable and the value predicted using the estimated regression equation is known as the _____. a.error term b.residual c.model parameter d.constant term

b.residual

_____ is used to test the hypothesis that the values of the regression parameters ß 1, ß 2, ... ß q are all zero. a.A t test b.Extrapolation c.The least squares method d.An F test

d.An F test

Which of the following regression models is used to model a nonlinear relationship between the independent and dependent variables by including the independent variable and the square of the independent variable in the model? a.Simple regression model b.Least squares regression model c.Multiple regression model d.Quadratic regression model

d.Quadratic regression model

The scatter chart below displays the residuals versus the dependent variable, x. Which of the following conclusions can be drawn based upon this scatter chart? ​ panel (c) a.The model captures the relationship between the variables accurately. b.The model underpredicts the value of the dependent variable for intermediate values of the independent variable. c.The residuals have a constant variance. d.The residual distribution is not normally distributed.

d.The residual distribution is not normally distributed.

______ refers to the data set used to compare model forecasts and ultimately pick a model for predicting values of the dependent variable. a.Training set b.Codomain c.Range d.Validation set

d.Validation set

A variable used to model the effect of categorical independent variables in a regression model is known as a _____. a.dependent variable b.predictor variable c.response d.dummy variable

d.dummy variable

In the simple linear regression model, the _____ accounts for the variability in the dependent variable that cannot be explained by the linear relationship between the variables. a.residual b.constant term c.model parameter d.error term

d.error term

The graph of the simple linear regression equation is a(n) _____. a.hyperbola b.ellipse c.parabola d.straight line

d.straight line

The coefficient of determination _____. a.takes values between -1 to +1 b.is equal to negative one for the poorest fit c.is equal to zero for a perfect fit d.is used to evaluate the goodness of fit

is used to evaluate the goodness of fit