In a multiple regression model, it is assumed that the errors or residuals are normally distributed.
Indicate whether the statement is true or false
Q. 2A stockbroker at a large brokerage firm recently analyzed the combined annual profits for all firms in the airline industry. One time-series component that may have been present in these annual data was a seasonal component.
Indicate whether the statement is true or false
Q. 3The forecasting interval is the unit of time for which forecasts are made.
Indicate whether the statement is true or false
Q. 4The standard error of the estimate is a term that is used for the standard deviation of the residuals in a multiple regression model.
Indicate whether the statement is true or false
Q. 5If the historical data on which the model is being built consist of weekly data, the forecasting period would also be weekly.
Indicate whether the statement is true or false
Q. 6You are given the following sample data for two variables:
Y X
10 100
8 110
12 90
15 200
16 150
10 100
10 80
8 90
12 150
The sample correlation coefficient for these data is approximately r = 0.755.
Indicate whether the statement is true or false
Q. 7A survey was recently conducted in which males and females were asked whether they owned a laptop personal computer. The following data were observed:
Males Females
Have Laptop 120 70
No Laptop 50 60
Given this information, the sample size in the survey was 300 people.
Indicate whether the statement is true or false
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