Using OLS to Solve for the Slope and Intercept of a Simple

question 14

Multiple Choice

Using OLS to solve for the slope and intercept of a simple linear regression will yield a regression line that satisfies which of the following conditions?

• A) \(\frac { \sum _ { i = 1 } ^ { N } e _ { i } X _ { i } } { N }\) = 0
• B) \(\frac { \sum _ { i = 1 } ^ { N } \left( Y _ { i } - b - m X _ { i } \right) X _ { i } } { N }\) = \(\bar { Y }\)
• C) Sum of squared residuals equals 0
• D) None of the answers is correct.

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