The Technique Which Minimizes the Squared Vertical Distances from the Regression

question 146

Multiple Choice

The technique which minimizes the squared vertical distances from the regression line to the data points is called the _____.

• A)correlation line
• B)method of least squares
• C)slope minimization technique
• D)truncation of range technique

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Definitions:

Efficient Output

The level of production where the maximum possible output is achieved with the given resources and technology, minimizing waste and cost.

Firm

A business organization, such as a corporation, partnership, or sole proprietorship, that sells goods or services in exchange for money.

Firm's ATC

The total average cost for a firm, including both fixed and variable costs, per unit of output.

Total Profit

The overall financial gain made in a business transaction or operation, calculated as the revenue minus the costs of achieving that revenue.