For Families Who Live in Apartments the Correlation Between the Family's

question 15

Multiple Choice

For families who live in apartments the correlation between the family's income and the amount of rent they pay is r = 0.60. Which is true?
I. In general, families with higher incomes pay more in rent.
II. On average, families spend 60% of their income on rent.
III. The regression line passes through 60% of the (income$, rent$) data
Points.

• A) I only
• B) II only
• C) I and II
• D) I and III
• E) I, II and III

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Definitions:

Customer Demand

The quantity of products or services that consumers are willing and able to purchase at various prices during a specified period.

Available Capacity

The maximum output or the total amount of work that a facility, employee, or machine can produce or accommodate in a specific period.

Inventory

The goods and materials that a business holds for the purpose of resale or production.

Simple Moving Average

A statistical calculation used to analyze data points by creating a series of averages of different subsets of the complete dataset.