A Simple Linear Regression of the Return of Firm a

question 54

Multiple Choice

A simple linear regression of the return of firm A ( ) on the return of firm B ( ) ,based on 18 observations,is = 2.2 + 0.4 .If the coefficient of determination from this regression is 0.09 calculate the correlation between and .

• A)0.03
• B)0.04
• C)0.09
• D)0.30

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Definitions:

Unsold Units

Inventory items that have not been sold during a specific period, representing potential revenue that has not been realized.

Absorption Costing Balance Sheet

A financial statement that includes all manufacturing costs (direct labor, direct materials, and manufacturing overhead) in the value of finished goods inventory.

Variable Costing

An accounting method that considers only the variable costs directly attributable to the production of goods, excluding fixed manufacturing costs from inventory valuation.

Unsold Units

Inventory items that were not sold during a specific period and are carried over to the next period.