Which of the Following Is True Regarding Constant Systematic Errors

question 8

Multiple Choice

Which of the following is true regarding constant systematic errors?

• A) The slope and the x-intercept of the regression line are affected.
• B) The slope of the regression line differs from the true value.
• C) The x-intercept of the regression line becomes equal to the y-intercept.
• D) The y-intercept of the regression line differs from the true value.

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Definitions:

Stock Dividend

A dividend payment made in the form of additional shares rather than a cash payout, typically to conserve the company's cash.

Capital Accounts

The accounts that show the net worth of a company or individual, including contributions from owners or partners and retained earnings.

Market Price

The current value at which an asset or service can be bought or sold in the marketplace.

Shares Outstanding

The total number of a company's shares that are currently owned by all its shareholders, including those held by institutional investors and restricted shares held by company’s insiders.