If the Intercept Value of a Linear Regression Model Is

question 43

Multiple Choice

If the intercept value of a linear regression model is 40, the slope value is 40, and the value of X is 40, which of the following is the resulting forecast value using this model?

• A) 120
• B) 1,600
• C) 1,640
• D) 2,200
• E) 64,000

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Definitions:

Glass-Steagall Act

A U.S. law enacted in 1933, designed to prevent commercial banks from engaging in investment banking, thereby protecting depositor funds from risky market investments.

Investment Banking

The sale of stocks and bonds for corporations.

Discount Rate

The interest rate charged to commercial banks and other financial institutions for loans received from the central bank.