Consider the Following to Answer the Question(s) Below

question 26

Multiple Choice

Consider the following to answer the question(s) below:
Consider the following scatter diagram for 24 of the top grossing movies of all time. The data include the highest grossing films for which world box office receipts and budgets were available. The top two were Avatar and Titanic.
-The best practice for modelling this data set given the scatter plot would be

• A) to estimate the model both including and excluding the data for Avatar and Titanic and then to compare the two regression models to understand how they differ.
• B) to include the data for Avatar and Titanic and use the model without any doubt.
• C) to exclude the data for Avatar and Titanic, construct the new model and use only new one.
• D) to find different data that will measure box office success and perfectly fit to the given equation.
• E) to use the given regression equation and treat Avatar and Titanic as extrapolation points.

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Definitions:

Public Ownership

The ownership of assets by the government or state, as opposed to private individuals or organizations.

Better Outcomes

Improvements in conditions or situations, often used in the context of healthcare or social services, indicating more favorable results.

Antitrust Law

Legislation intended to promote competition and protect consumers from monopolistic practices, merger, and acquisition strategies that limit market competition.

Conglomerate Mergers

The combination of two or more corporations engaging in entirely different businesses into a single corporate structure, typically to diversify business interests and investments.