Which of the Following Is Not True of Seasonal Dummy

question 96

Multiple Choice

Which of the following is not true of seasonal dummy variables?

• A) Their values are either 0 or 1.
• B) Their number should be one less than the number of seasons.
• C) They are used to describe the seasonality in quarterly, monthly, or other increment time series.
• D) Their number should equal the number of seasons.

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Definitions:

Bankruptcy

A legal procedure for dealing with debt problems of individuals and businesses; officially declared inability to pay outstanding debts.

Promissory Estoppel

A legal principle that prevents a promisor from denying a promise when the promisee relies on it to their detriment.

Consideration

A fundamental concept in contract law that refers to something of value (such as money, a promise, or an act) exchanged between parties as part of a contract.

Bargained-For Exchange

A mutual agreement between parties in which each promises to give something in exchange for a benefit.