A Company Hires You to Develop a Linear Regression Forecasting

question 21

Multiple Choice

A company hires you to develop a linear regression forecasting model. Based on the company's historical sales information, you determine the intercept value of the model to be 1,200. You also find the slope value is minus 50. If, after developing the model, you are given a value of X = 10, which of the following is the resulting forecast value using this model?

• A) −1,800
• B) 700
• C) 1,230
• D) 1,150
• E) 12,000

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Definitions:

ECT

Electroconvulsive Therapy, a medical treatment most commonly used for severe depression which involves inducing seizures in anesthetized patients through electrical currents.

MAO Inhibitors

A class of medications used to treat depression by inhibiting the action of monoamine oxidase, an enzyme that breaks down neurotransmitters.

Dietary Supplements

Products taken by mouth that contain a "dietary ingredient" intended to supplement the diet, including vitamins, minerals, herbs, or other botanicals.

Tricyclic

An antidepressant drug such as imipramine that has three rings in its molecular structure.