Computing the Standard Error of the Estimate ( )By

question 4

Multiple Choice

Computing the standard error of the estimate ( ) by subtracting each from the corresponding Y,squaring the difference,summing the results,dividing by N,and then taking the square root (the defining formula) is difficult and time-consuming.Fortunately,the same value can be computed by multiplying the standard deviation of Y (i.e. , ) by

• A)100
• D)0.5

---

Definitions:

Accounts Payable

The liabilities a company has to its vendors or lending parties for products and services it has received but for which payment has not been made.

Net Method

A way of recording purchases or sales of goods that directly factors in any discounts or allowances at the time of the transaction.

Gross Method

An accounting method for recording purchases at the full invoice price without deducting any cash discounts offered.

Cash Discounts

A reduction in the amount owed by a customer if payment is made within a specified time frame.