For problems 1-10 answer True or False. 1. If the least-squares equation relatin

Question

For problems 1-10 answer True or False.

1. If the least-squares equation relating the independent variable x and the dependent variable y for a given problem is y = 2x+5, then an increase of 1 unit in x is associated with an increase of 2 units in y.

2. The coefficient of determination measures the variation in the dependent variable that is explained by the regression model.

3. If your computed correlation coefficient is r = +1.2, then you have better than a perfect positive correlation.

4. A student might expect that there is a positive correlation between the age of his or her computer and its resale value.

5. In simple regression analysis, if the slope of the line is positive, then there is a positive correlation between the dependent variable y and the independent variable x.

6. The variable that is being predicted in regression analysis is the independent variable.

7. The correlation coefficient r is always between –1 and +1.

8. The coefficient of determination can assume negative values.

9. A negative correlation indicates that as values of x are increased, values of y will decrease.

10. If there is no correlation between the independent and dependent variables, then the value of the correlation coefficient must be –1.

Explanation / Answer

1) True

2) False, The coefficient of determination measures the variation in the dependent variable that is explained by the independent variable

3) False, Correlation coefficient cannot exceed +1

4) False: As the age of computer increases, there resale value decreases.

5) True

6) False, The variable that is being predicted in regression analysis is the dependent variable

7) True

8) False,  The coefficient of determination is the square of correlation coefficient, hence cannot be negative

9) True

10) False, If there is no correlation between the independent and dependent variables, then the value of the correlation coefficient must be 0 (zero)

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