Multiple Choice 3

. What would be the value of the sum of squares due to regression (SSR) if the total sum of squares (SST) is 25.32 and the sum of squares due to error (SSE) is 6.89?

18.43

If the forecasted value of the time series variable for period 2 is 22.5 and the actual value observed for period 2 is 25, what is the forecast error in period 2?

2.5

A regression analysis involving one independent variable and one dependent variable is referred to as a

simple regression

In the graph of the simple linear regression equation, the parameter β1 is the _____ of the regression line.

slope

Prediction of the value of the dependent variable outside the experimental region is called _____.

extrapolation

A linear regression analysis for which any one unit change in the independent variable is assumed to:

have the same change in the dependent variable

A _____ pattern exists when the data fluctuate randomly around a constant mean over time

horizontal

The moving averages and exponential smoothing methods are appropriate for a time series exhibiting _____.

horizontal pattern

Autoregressive models:

occur whenever all the independent variables are previous values of the same time series.

A set of observations on a variable measured at successive points in time or over successive periods of

time series

What would be the coefficient of determination if the total sum of squares (SST) is 23.29 and the sum of squares due to regression (SSR) is 10.03?

0.43

. _____ is used to test the hypothesis that the values of the regression parameters β1, β2, . . . , βq are all zero.

An F test

. _____ uses a weighted average of past time series values as the forecast.

Exponential smoothing

_____ is the amount by which the predicted value differs from the observed value of the time series variable.

Forecast error

Which of the following data patterns best describes the scenario shown in the given time series plot?

Linear trend pattern

Which of the following data patterns best describes the scenario shown in the given time series plot?

Seasonal pattern

Which of the following data patterns best describes the scenario shown in the given time series plot?

Seasonal pattern and linear trend

Which of the following inferences can be drawn from the scatter chart given below?

The residual distribution is not normally distributed

Which of the following inferences can be drawn from the scatter chart given below?

The residuals have a varying variance.

Which of the following data patterns best describes the scenario shown in the below plot?

Time series with a horizontal pattern

When the mean value of the dependent variable is independent of variation in the independent variable, the slope of the regression line is _____.

ZERO

The coefficient of determination:

is used to evaluate the goodness of fit.

. forecast is defined as a(n):

prediction of future values of a time series.

The procedure of using sample data to find the estimated regression equation is better known as _____.

the least squares method

Trend refers to:

the long-run shift or movement in the time series observable over several periods of time.

The following scatter chart would help conclude that:

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