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The Least Squares Technique Minimizes the Sum of the Squares

question 56

True/False

The least squares technique minimizes the sum of the squares of the vertical distances between the actual Y values and the predicted values of Y.


Definitions:

Net Present Value

A financial metric used to assess the profitability of an investment, calculated by subtracting the present value of cash outflows from the present value of cash inflows.

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