Assignment:
Q1. If a categorical independent variable contains 2 categories, then _________ dummy variable(s) will be needed to uniquely represent these categories.
a. 1
b. 2
c. 3
d. 4
Q2. A dummy variable is used as an independent variable in a regression model when
a. the variable involved is numerical.
b. the variable involved is categorical.
c. a curvilinear relationship is suspected.
d. 2 independent variables interact.
Q3. Which of the following is not used to find a "best" model?
a. Adjusted r2
b. Mallow's Cp
c. Odds ratio
d. All of the above
Q4. The effect of an unpredictable, rare event will be contained in the ___________ component.
a. trend
b. cyclical
c. irregular
d. seasonal
Q5. The annual multiplicative time-series model does not possess _______ component.
a. a trend
b. a cyclical
c. an irregular
d. a seasonal
Q6. When a time series appears to be increasing at an increasing rate, such that percentage difference from observation to observation is constant, the appropriate model to fit is the
a. linear trend.
b. quadratic trend.
c. exponential trend.
d. None of the above.