Which Statement Best Describes This Regression Where Y = Highway

question 88

Multiple Choice

Which statement best describes this regression where Y = highway miles per gallon (MPG) in 91 cars?

• A)Regression is statistically significant but with large error in the MPG predictions.
• B)Regression is statistically significant and has quite small MPG prediction errors.
• C)Regression is not quite significant,but predictions should be very good.
• D)This is not a significant regression at any customary level of α.

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Definitions:

Variable Costs

Costs that change in proportion to the activity or volume of business, such as materials and labor.

Total Costs

The complete cost of production of goods or services, which includes both fixed and variable costs.

Revenues

The total income generated by a company from its business activities, typically from the sale of goods and services before any expenses are deducted.

Total Variable Cost

The total variable cost is the sum of all variable expenses that change in proportion to the volume of output or production.