Which Is Not True of the Coefficient of Determination

question 119

Multiple Choice

Which is not true of the coefficient of determination?

• A) It is the square of the coefficient of correlation.
• B) It is negative when there is an inverse relationship between X and Y.
• C) It reports the percent of the variation in Y explained by X.
• D) It is calculated using sums of squares (e.g. ,SSR,SSE,SST).

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Definitions:

Generic Strategies

A framework in business strategy that outlines three main approaches a business can take to gain competitive advantage: cost leadership, differentiation, and focus.

Differentiation

The process of distinguishing a product, service, or business from competitors in order to attract a particular target market.

Cost Leadership

A business strategy focusing on gaining advantage by reducing production or service costs below those of competitors.

Transnational Strategy

A business strategy that involves operating globally but with responsiveness to local needs and preferences.