QMB 3200 EXAM 4 QUESTIONS AND
ANSWERS
In a multiple linear regression model with three predictor variables, if the null
hypothesis, H0:β2=0𝐻0:𝛽2=0 is rejected, then the estimated slope coefficient b2
measures the change in the predicted value of the response variable for a unit increase
in x2 when all other xj variables are held constant. - Correct Answers -True
The deterministic component of the simple linear regression model is given by
β0+β1x𝛽0+𝛽1𝑥 . - Correct Answers -True
Consider the following data: 𝑥¯ = 20, sx = 2, 𝑦¯ = −5, sy = 4, and b1 = 0.40. Which of
the following is the sample regression equation? - Correct Answers -𝑦^ = −13 + 0.40x
Simple linear regression includes more than one predictor variable. - Correct Answers -
False
Consider the following simple linear regression model: y = β0 + β1 + ε. The response
variable is __________. - Correct Answers -y
Consider the following sample regression equation 𝑦^ = 150 − 20x, where y is the
demand for Product A (in 1,000s) and x is the price of the product (in $). The slope
coefficient indicates that if __________. - Correct Answers -the price of Product A
increases by $1, then we predict the demand to decrease on average by 20,000
Consider the following sample regression equation 𝑦^ = 200 + 10x, where y is the
supply for Product A (in 1,000s) and x is the price of the product (in $). The slope
coefficient indicates that if __________. - Correct Answers -the price of Product A
increases by $1, then we predict the supply to increase on average by 10,000
Consider the following sample regression equation 𝑦^ = 150 − 20x, where y is the
demand for Product A (in 1,000s) and x is the price of the product (in $). If the price of
Product A is $5, then we expect demand to be __________. - Correct Answers -50,000
One-way ANOVA assumes the population standard deviations are unknown and
assumed equal, and is used to determine if differences exist between the means of
three or more populations under independent sampling - Correct Answers -True
We use the ANOVA test to determine if differences exist between the means of three or
more populations by examining the amount of variability between the samples relative
to the amount of variability within the samples. - Correct Answers -True
ANSWERS
In a multiple linear regression model with three predictor variables, if the null
hypothesis, H0:β2=0𝐻0:𝛽2=0 is rejected, then the estimated slope coefficient b2
measures the change in the predicted value of the response variable for a unit increase
in x2 when all other xj variables are held constant. - Correct Answers -True
The deterministic component of the simple linear regression model is given by
β0+β1x𝛽0+𝛽1𝑥 . - Correct Answers -True
Consider the following data: 𝑥¯ = 20, sx = 2, 𝑦¯ = −5, sy = 4, and b1 = 0.40. Which of
the following is the sample regression equation? - Correct Answers -𝑦^ = −13 + 0.40x
Simple linear regression includes more than one predictor variable. - Correct Answers -
False
Consider the following simple linear regression model: y = β0 + β1 + ε. The response
variable is __________. - Correct Answers -y
Consider the following sample regression equation 𝑦^ = 150 − 20x, where y is the
demand for Product A (in 1,000s) and x is the price of the product (in $). The slope
coefficient indicates that if __________. - Correct Answers -the price of Product A
increases by $1, then we predict the demand to decrease on average by 20,000
Consider the following sample regression equation 𝑦^ = 200 + 10x, where y is the
supply for Product A (in 1,000s) and x is the price of the product (in $). The slope
coefficient indicates that if __________. - Correct Answers -the price of Product A
increases by $1, then we predict the supply to increase on average by 10,000
Consider the following sample regression equation 𝑦^ = 150 − 20x, where y is the
demand for Product A (in 1,000s) and x is the price of the product (in $). If the price of
Product A is $5, then we expect demand to be __________. - Correct Answers -50,000
One-way ANOVA assumes the population standard deviations are unknown and
assumed equal, and is used to determine if differences exist between the means of
three or more populations under independent sampling - Correct Answers -True
We use the ANOVA test to determine if differences exist between the means of three or
more populations by examining the amount of variability between the samples relative
to the amount of variability within the samples. - Correct Answers -True
