Heidi Runs a Multiple Regression for the Output of Cheese

question 6

Multiple Choice

Heidi runs a multiple regression for the output of cheese curds by using the daily temperature and the consumption of sweet clover. The intercept term is 23, the slope coefficient for the daily temperature is 1.5 and the slope coefficient for the consumption of sweet clover is 0; both coefficients are statistically significant. Which of these conclusions is most appropriate?

• A)Heidi should collect more data.
• B)The most important term in Heidi's model is the intercept.
• C)As the daily temperature rises, the intercept term probably decreases.
• D)Heidi should drop the sweet clover term from her model.

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Definitions:

TQM

Total Quality Management is a management approach focused on long-term success by focusing on customer satisfaction, and involving all members of an organization in improving processes, products, services, and the culture in which they work.

Organizational Change

The process through which organizations transform their structure, strategies, processes, or culture to adapt to changes in the environment.

Reengineering

is the fundamental rethinking and radical redesign of business processes to achieve dramatic improvements in critical measures of performance such as cost, quality, service, and speed.

Statistical Process Control

A methodology for monitoring, controlling, and improving a process through statistical analysis.