Given the Least Squares Regression Line

question 40

Multiple Choice

Given the least squares regression line :

• A)the relationship between x and y is positive.
• B)the relationship between x and y is negative.
• C)as x decreases, so does y.
• D)None of these choices.

---

Definitions:

Days' Sales

This is a measure of a company’s operational efficiency, indicating how many days it takes for a company to turn its inventory into sales.

Average Collection Period

The average amount of time it takes for a business to receive payments owed by its customers.

Accounts Payable

The amount a company owes to its suppliers or vendors for goods or services received but not yet paid for.

Shareholders' Equity

The residual interest in the assets of a company after deducting all its liabilities.