In a Scatter Diagram, a Line That Provides an Approximation

question 9

Multiple Choice

In a scatter diagram, a line that provides an approximation of the relationship between the variables is known as

• A)approximation line
• B)trend line
• C)line of zero intercept
• D)line of zero slope

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Definitions:

Liability Uncertainty

Liability uncertainty involves not knowing the exact amount or timing of future outflows due to existing obligations.

Sales Taxes Payable

Current liabilities on a company’s balance sheet, representing taxes collected from customers on behalf of governmental authorities which are yet to be remitted.

Credited

An accounting entry that increases a liability or equity account, or decreases an asset or expense account.

Future Payments

Obligations that are due to be paid at a future date.