A Company Using Regression Analysis to Correlate Income to a Variety

question 64

Multiple Choice

A company using regression analysis to correlate income to a variety of sales indicators found that the relationship between the number of sales managers in a territory and net income for the territory had a correlation coefficient of -1. Which is the best description of this situation?

• A) More sales managers should be hired.
• B) Imperfect negative correlation.
• C) Perfect inverse correlation.
• D) There is no correlation at all.

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Definitions:

Litigation

The process of taking legal action or resolving disputes through the court system.

Injuries

A term referring to physical harm or damage to a person's body.

Complaint

A complaint is a formal legal document filed in court by someone who claims to have suffered damages from a defendant, outlining the basis of the lawsuit.

Litigation

The process of resolving disputes or defending legal rights in court; involves a lawsuit or legal action being taken.