In a Regression and Correlation Analysis, If R² = 1

question 36

Multiple Choice

In a regression and correlation analysis, if r² = 1, then

• A) SSE must also be equal to one.
• B) SSE must be equal to zero.
• C) SSE can be any positive value.
• D) SSE must be negative.

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Definitions:

Direct Labor Cost

The wages and related benefits paid to workers who are directly involved in the production of goods or services.

Reconciliation

The process of ensuring that two sets of records (usually the balances of two accounts) are in agreement.

Break-Even

The point at which total costs equal total revenues, meaning a business is not making a profit but is not losing money either.

Sales Dollars

Represents the total monetary value of sales transactions made within a specific period, not accounting for costs or profits.