Which Statement About Re-Expressing Data Is True

question 39

Multiple Choice

Which statement about re-expressing data is true?

• A) To make unimodal distribution that is skewed to the left more symmetric we should take the square root of the variable.
• B) Transforming data cannot make a scatterplot and residual plot less spread out.
• C) Transforming data is based only on the logarithmic function of the response variable.
• D) One goal of re-expressing may be to make the variability of the response variable more uniform.
• E) Re-expressing data by the logarithms should be used only when we want make the form of the scatterplot more nearly linear.

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Definitions:

Physical Inventory

The process of counting by hand the actual inventory that a company holds in its premises, as opposed to counting based on purchase and sale records.

Cost Of Goods Sold

Expenses directly incurred from the manufacturing of a company’s goods for sale, such as materials and labor.

Gross Profit

The difference between revenue and the cost of goods sold before deducting operating expenses, interest, and taxes.

Perpetual Inventory System

An inventory management system that updates inventory records for each purchase and sale in real time.