The Gauss-Markov Theorem Will Not Hold If _____

question 11

Multiple Choice

The Gauss-Markov theorem will not hold if _____.

• A)the error term has the same variance given any values of the explanatory variables
• B)the error term has an expected value of zero given any values of the independent variables
• C)the independent variables have exact linear relationships among them
• D)the regression model relies on the method of random sampling for collection of data

---

Definitions:

Income Statement

A financial statement that shows a company's revenues and expenses over a specified period, resulting in net profit or loss.

Income Statement

A financial statement that reports a company's financial performance over a specific accounting period, detailing revenues, expenses, and net income.

Debit Column

A column in accounting ledgers and financial statements used to record increases in asset or expense accounts, and decreases in liability, equity, or revenue accounts.

Credit Column

A column in accounting records or financial statements used to record amounts that reduce balances in asset or expense accounts, or increase balances in liability, equity, or revenue accounts.