Yvonne Yang, VP of Finance at Discrete Components, Inc

question 95

Multiple Choice

Yvonne Yang, VP of Finance at Discrete Components, Inc.(DCI) , wants a regression model which predicts the average collection period on credit sales.Her data set includes two qualitative variables: sales discount rates (0%, 2%, 4%, and 6%) , and total assets of credit customers (small, medium, and large) .The number of dummy variables needed for "total assets of credit customer" in Yvonne's regression model is ________.

• A)1
• B)2
• C)3
• D)4
• E)7

---

Definitions:

Validity of Data

refers to the accuracy and reliability of data in representing the phenomena or characteristics they are intended to depict.

Free Websites

Online platforms or sites accessible without payment, offering a range of content and services.

Compa-ratio

A metric used in human resources to compare an employee's salary to the midpoint of a salary range for their position or similar positions within a sector.

Pay Range

The scale of minimum to maximum pay established by an organization for a specific job or category of jobs.