TABLE 14-9 You Decide to Predict Gasoline Prices in Different Cities and Cities

question 334

Multiple Choice

TABLE 14-9
You decide to predict gasoline prices in different cities and towns in the United States for your term project. Your dependent variable is price of gasoline per gallon and your explanatory variables are per capita income, the number of firms that manufacture automobile parts in and around the city, the number of new business starts in the last year, population density of the city, percentage of local taxes on gasoline, and the number of people using public transportation. You collected data of 32 cities and obtained a regression sum of squares SSR = 122.8821. Your computed value of standard error of the estimate is 1.9549.
-Referring to Table 14-9, the value of adjusted r² is

• A) 0.4576.
• B) 0.5626.
• C) 0.6472.
• D) 95.5414.

---

Definitions:

Treasury Bills

Short-term government securities with maturity periods of one year or less, offering a safe investment with minimal risk.

Collection Float

Collection Float refers to the time delay between when a check is deposited into a bank account and when the amount is actually available for use.

Outstanding Deposits

The total amount of money deposited in a financial institution that has not yet been credited to the depositor's account.

Checks

Written, dated, and signed instruments that direct a bank to pay a specific sum of money to the bearer or to a specified person.