Dummy Variables Make It Possible to Include ________ in Regression

question 15

Multiple Choice

Dummy variables make it possible to include ________ in regression analysis.

• A) nominal variables
• B) variables measuring intelligence
• C) interval-ratio variables
• D) variables with more than two scores

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Definitions:

Guaranteed Annual Rate

The minimum annual return promised to an investor by an investment product, regardless of market conditions.

Fixed Rate

An interest rate that remains the same throughout the entire term of a loan, investment, or financial product.

Stocks

Shares of ownership in a company that entitle the holder to a claim on part of the company’s assets and earnings.

Present Value

The current-day worth of an anticipated future money amount or cash flow sequences, calculated using a particular rate of return.