Use the Following to Answer the Question(s) Below

question 18

Multiple Choice

Use the following to answer the question(s) below.
Weekly commodity prices for heating oil (in cents) were obtained and regressed against time. Below is the regression output and residual plots from fitting a linear model.
-Which of the following statements is true?

• A) The t-test for the regression slope indicates that it is significantly different from zero.
• B) The model explains 71.9% of the variability in heating oil prices.
• C) The linear model is appropriate.
• D) The t-test for the regression slope indicates that it is significantly different from zero and the model explains 71.9% of the variability in heating oil prices.
• E) All of the statements given are true.

---

Definitions:

Simplify

To reduce a mathematical expression or equation to its simplest form by performing operations and combining like terms.

Evaluate

To calculate the numerical value of an expression or determine the result of an equation.

Function

A function is a relation between a set of inputs and a set of permissible outputs with the property that each input is related to exactly one output.

Simplify

To reduce a mathematical expression or equation to its simplest form by performing all operations and simplifying all terms.