Weighted Least Squares Estimation Is Used Only When _____

question 24

Multiple Choice

Weighted least squares estimation is used only when _____.

• A)the dependent variable in a regression model is binary
• B)the independent variables in a regression model are correlated
• C)the error term in a regression model has a constant variance
• D)the functional form of the error variances is known

---

Definitions:

Company's Normal Business

Refers to the core activities and operations that a company engages in on a day-to-day basis to generate revenue and profit.

Undertaken

To commit oneself to a task or obligation.

Dividends

Payments made by a corporation to its shareholder members, usually derived from the company's profits.

Effects On Other Parts

The impact that changes or actions in one segment or component have on other segments or components within a system or organization.