The Number of Dummy Variables Required If a Categorical Variable

question 73

Multiple Choice

The number of dummy variables required if a categorical variable has k levels is:

• A) k − 1
• B) b.k
• C) k + 1
• D) !

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Definitions:

Assignments

The transfer of rights, property, or responsibilities from one party to another, often used in the context of legal and academic settings.

Contractual Relationship

A legal bond between parties, created by an agreement, that outlines rights and obligations.

Parol Evidence Rule

A principle that courts will not permit outside evidence to contradict clear wording of a contract.

Extrinsic Evidence

Evidence not contained in the document itself but that may be used to interpret, clarify, or add context to the document.