It Has Been Hypothesized That Overall Academic Success for Freshmen

question 88

Multiple Choice

It has been hypothesized that overall academic success for freshmen at college as measured by
Grade point average (GPA) is a function of IQ scores (X1) , hours spent studying each week (X2) , and
One's high school average (X3) . Suppose the regression equation is:
Y' = -6.9 + 0.055X1 + 0.107X2 + 0.0083X3.
The multiple standard error is 6.313 and R2 = 0.826.How will a student's GPA be affected if an
Additional hour is spent studying each weeknight?

• A) Increases by 0.535
• B) Decreases by 0.535
• C) Increases by 0.107
• D) Decreases by 0.107
• E) Increases by 0.0083

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Definitions:

Times Interest Earned

A ratio that measures a company's ability to meet its debt obligations by comparing its income before interest and taxes to its total interest expenses.

Debt to Equity

A financial metric showing the comparative amount of debt and shareholders' equity utilized to fund a company's assets.

Price/Earnings

A valuation ratio of a company's current share price compared to its per-share earnings, used to assess if a stock is over or undervalued.

Ratio Analysis

A technique of analyzing the strength of a company by forming (financial) ratios out of sets of numbers from the financial statements. Ratios are compared with the competition, recent history, and the firm’s plan to assess the quality of its performance.