Amelia Used a Random Sample of 100 Accounts Receivable to Estimate

question 53

Multiple Choice

Amelia used a random sample of 100 accounts receivable to estimate the relationship between Days (number of days from billing to receipt of payment) and Size (size of balance due in dollars) . Her estimated regression equation was Days = 22 + 0.0047 Size with a correlation coefficient of .300. From this information we can conclude that:

• A)9 percent of the variation in Days is explained by Size.
• B)autocorrelation is likely to be a problem.
• C)the relationship between Days and Size is significant.
• D)larger accounts usually take less time to pay.

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Definitions:

Solenoid

A coil of wire that acts as a magnet when carrying electric current, often used to control a valve or other components by moving a ferromagnetic core.

Relay

An electrical switch that opens and closes circuits electromechanically or electronically, often used for controlling a high-power circuit with a low-power signal.

Deficit of Electrons

A deficit of electrons occurs in an atom or molecule when it has more protons than electrons, resulting in a positive charge, often referred to as an ionized state.

Anode

The positively charged electrode in an electrochemical cell, where oxidation occurs.