The Statistic Used to Test for Serial Correlation Is The

question 21

Multiple Choice

The statistic used to test for serial correlation is the:

• A) R-squared statistic.
• B) t-statistic.
• C) Durbin-Watson statistic.
• D) F-test statistic.
• E) standard error of the estimate.

---

Definitions:

Beginning Inventory

The value of inventory held by a company at the start of an accounting period, used to calculate cost of goods sold during the period.

Ending Inventory

The total value of all goods available for sale at the end of an accounting period, reflecting purchases and sales within that period.

Average Method

An inventory costing method that calculates the cost of goods sold based on the average cost of all similar items in inventory.

Periodic Inventory System

An inventory system that records inventory purchases and sales periodically, updating the inventory balance at the end of an accounting period.