Based on the correlations below:
Y
X1 0.8
X2 0.7
we could say that x1 accounts for 64 percent of the variation in y and x2 accounts for 49 percent of the variation in y. So if both xs are included in a multiple regression model, then the resulting R-square = 1.13.
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Q. 2In developing a simple linear regression model it is assumed that the distribution of error terms will be normally distributed for all levels of x.
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Q. 3You are given the following linear trend model: Ft = 345.60 - 200.5(t). The forecast for period 15 is approximately -2,662.
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Q. 4In a multiple regression model, the adjusted R-square value measures the explained variation in the dependent variable after taking into account the relationship between the sample size and the number of independent variables in the model.
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Q. 5A study was recently done in the United States in which car owners were asked to indicate whether their most recent car purchase was a U.S. car, a German car, or a Japanese car.
The people in the survey were divided by geographic region in the United States. The following data were recorded.
US Japanese German
East Coast 200 200 50
Central 250 100 20
West Coast 80 300 40
Given this situation, the sample size used in this study was nine.
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