In defining a cause and effect relationship, the variable that drives some change in another
variable is called what?
a. Moderating variable
b. Independent variable
c. Mediating variable
d. Dependent variable correct answers b. Independent variable
In defining a cause and effect relationship, the variable that is changed as a result of the action of
some other variable is called what?
a. Moderating variable
b. Mediating variable
c. Dependent variable
d. Independent variable correct answers c. Dependent variable
f there is a linear relationship between variables, we can say they are correlated. Determining
that variables are correlated is very important; however, to draw specific conclusions about the
cause and effect relationship will take additional advanced analytical techniques to further test
the relationship in order to exclude other contributory factors that could have caused the change.
When we have established a positive relationship between two variables, what can we conclude?
a. The answer cannot be determined from this question without knowing what the metrics are.
b. This proves that one variable causes the change in another variable because it is positive.
c. There is an association between the variables but not proof that a change in one causes a
change in the other.
d. That there will always be the same amount of change in the dependent variable based on the
independent variable. correct answers c. There is an association between the variables but not
proof that a change in one causes a change in the other.
, In determining relationships between cause and effect, what does it mean if one variable
increases as the other variable also increases?
a. That the change will be identical throughout the data range
b. Proof that one variable caused all of the change in another variable
c. That there is a negative correlation between the variables
d. That there is a positive correlation between the variables correct answers d. That there is a
positive correlation between the variables
In studying cause and effect relationships, what can we say when there is a positive relationship
between the variables?
a. There will always be an increase of one unit up in one variable in response to one unit up in
the other variable.
b. When the independent variable increases, the dependent variable will increase at a
proportionate rate.
c. The data represent a positive increase in assets from a company's point of view.
d. There is never a decrease in the path of the independent variable; it only continues upward.
correct answers b. When the independent variable increases, the dependent variable will increase
at a proportionate rate.
Trend lines show as either an upward movement or a downward movement. If the line shows
upward movement, from the bottom left to the upper right of the chart, there is a _________
linear relationship. If there is a downward movement of the trend line, from upper left to lower
right, then there is a _______ linear relationship. correct answers positive, negative
Although there are many benefits to forecasting, the primary purpose of forecasting is to control
the ________ situation in order to make better decisions. correct answers current
One purpose behind business forecasting is to estimate future demand. Forecasting gives
planners the ability to make prudent -___________among/for ______ in order to maximize their
likelihood of success.
a. decisions, several alternatives