In a Regression Analysis, Three Independent Variables Are Used in the Equation

question 104

Multiple Choice

In a regression analysis, three independent variables are used in the equation based on a sample of
Forty observations. What are the degrees of freedom associated with the F-statistic?

• A) 3 and 39
• B) 4 and 40
• C) 3 and 36
• D) 2 and 39

---

Definitions:

Price

The financial cost associated with acquiring a good, service, or asset.

Income

Funds obtained regularly from work performed or investments made.

Budget Line

The budget line represents the combination of goods and services that a consumer can purchase given their income and the prices of those goods and services.

Slope

A measure of the steepness or inclination of a line or curve, indicating the ratio of the vertical change to the horizontal change between two points on the line.