Which of the Following Statements Is True

question 10

Multiple Choice

Which of the following statements is true?

• A)If the confidence interval estimate for the regression slope coefficient crosses over zero,the average change in y for a one-unit change in x may be zero.
• B)If the regression slope coefficient is very close to zero,this means that the relationship between the x ands y variable is statistically insignificant.
• C)A statistically significant regression slope coefficient indicates that for a one-unit change in y there will be a positive change in x by an amount equal to the regression slope coefficient.
• D)It is acceptable to make predictions for y using x values that are outside the range of the data that was used the in the regression.

---

Definitions:

Historically

Referring to events, conditions, or patterns that have occurred in the past.

Securities

Securities are financial instruments that represent an ownership position in a publicly-traded corporation (stock), a creditor relationship with a government or corporation (bond), or rights to ownership as represented by an option.

Cash Flows

The movement of money into and out of a business, project, or financial product.

Investors

Entities or individuals that commit money with the hope of achieving financial gains.