Minimizing the Sum of the Squared Deviations Around the Line

question 19

Multiple Choice

Minimizing the sum of the squared deviations around the line is called:

• A)mean squared error technique.
• B)mean absolute deviation.
• C)double smoothing.
• D)least squares estimation.
• E)predictor regression.

---

Definitions:

Earnings Per Share

A measure of a company's profitability, calculated by dividing net income by the number of outstanding shares.

Estimated Income Tax

The amount of tax a company or individual estimates to owe for the current tax year, often paid in advance through quarterly payments.

Earnings Per Share

A financial ratio indicating the portion of a company's profit allocated to each outstanding share of common stock, reflecting the company's profitability on a per-share basis.

Legal Contract

A binding agreement between two or more parties, enforceable by law, that specifies and regulates the rights and duties of the parties involved.