What Would You Have to Create in Order to Include

question 2

Multiple Choice

What would you have to create in order to include categorical predictors in a moderation or mediation analysis?

• A) Dummy variables
• B) Zombie variables
• C) Z variables
• D) Extraneous variables

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Definitions:

Yield To Maturity

An estimate of the annualized return an investor will receive from a bond, assuming it is held until its maturity date, inclusive of all payments.

Par Value

Par value is the face value of a bond or stock as stated by the issuing company, which may differ from its market value; for stocks, it is often a nominal amount.

Coupon

The interest rate stated on a bond when issued, which is paid by the issuer to the bondholder at specified intervals until maturity.

Yield To Maturity

The total return anticipated on a bond if it is held until it matures, considering both interest payments and capital gains.