When Predicting a Participant's Y Score from a Linear Regression

question 42

Multiple Choice

When predicting a participant's Y score from a linear regression line, the error in that prediction is.

• A)how much the actual score, Y, differs from the mean of the scores, Y
• B)the difference between the predicted score, Y ', and the X score used to make the prediction
• C)the difference between the predicted score, Y ', and the mean of the predicted scores, Y '
• D)how much the actual Y score differs from the predicted Y ' score

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Definitions:

Long Bonds

Bonds with a long duration to maturity, typically over 10 years, often associated with higher risk but higher yield.

Capital Gains Yield

The price appreciation component of the total return on an investment, calculated as the increase in the investment's price divided by its initial price.

Dividends

Profit distributions paid out to shareholders by a company.

Shares

Ownership units in a corporation, representing a portion of the company's capital.