A Predictor Variable in a Logistic Regression Equation Was a Birthweight

question 7

Multiple Choice

A predictor variable in a logistic regression equation was a birthweight category variable (very low birthweight [1], low birthweight [2], and normal birthweight [3]) . With standard (default) contrast coding, how many new variables would be created and what would the codes for normal birthweight be on those variables?

• A) Three new variables, with codes of 0, 0, and 1, respectively, for normal birthweight
• B) Three new variables, with codes of 0, 0, and 0, respectively, for normal birthweight
• C) Two new variables, with codes of 0 and 0, respectively, for normal birthweight
• D) Two new variables, with codes of 0, and -1, respectively, for normal birthweight

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Definitions:

Average Total Cost

The cost per unit of output, determined by dividing the overall production cost by the quantity produced.

Fixed Cost

A cost that does not change with an increase or decrease in the amount of goods or services produced.

Variable Cost

A cost that changes with the level of output or production.

Average Variable Cost

The total variable cost divided by the quantity of output produced, representing the variable cost per unit of output.