Consider the Following Regression Model: Humidity = β₀ + β₁

question 23

Multiple Choice

Consider the following regression model: Humidity = β₀ + β₁ Temperature + β₂ Spring + β₃ Summer + β₄Fall + β₅ Rain + ε,
Where the dummy variables Spring,Summer,and Fall represent the qualitative variable Season (spring,summer,fall,winter) ,and the dummy variable Rain is defined as Rain = 1 if rainy day,Rain = 0 otherwise.What is the regression equation for the winter days?

• A) = (b₀ + b₃)+b₁Temperature + b₅Rain
• B) = (b₀ + b₂ + b₃ + b₄)+ b₁Temperature + b₅Rain
• C) = b₀ + b₁Temperature + b₅Rain

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Definitions:

Liabilities

Liabilities refer to the financial obligations or debts that an entity owes to others, which must be settled through the transfer of assets or providing services.

Revenue

The income generated from normal business operations, calculated as the total sales of goods or services.