Quiz Week 5

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Quiz Week 5

Question 1

What is correlation? Select one:

a. Establishes a relationship between two variables


b. Measures the demand for a good
c. Measures growth
d. Establishes cause and effect

Correlation establishes a relationship between two variables. It does not necessarily indicate
causality. It is the equation of the line which ‘best fits’ the data (i.e. the ‘least squares’ line).

The correct answer is: Establishes a relationship between two variables

Question 2
In the equation of a straight  line, Y = mX + c the term, m is the: 

Select one:
a. Intercept
b. Dependent variable

c. Slope
d. Independent variable

It is the slope or gradient of the regression line, telling us how much the dependent variable (Y)
changes for each unit change in the independent variable (X)

The correct answer is: Slope

Question 3
In the equation of a straight line, Y = mX + c , if c is equal to zero then: 

Select one:
a. Does not cross the X axis
b. The line of best fit passes through the origin
c. The line of best fit cuts the X axis to the right of the Y axis
d. The line of best fit cuts the X axis to the left of the Y axis

When X is zero, then Y equals 0 when c equals zero

The correct answer is: The line of best fit passes through the origin

Question 4
In the equation of a straight line, Y = mX + c , if m is equal to -2 then:  

Select one:

a. There is a negative relationship between the two variables


b. There is a positive relationship between the two variables
c. There is no relationship between the two variables
d. The relationship between the two variables is perfect

For every rise in X of one unit, there is a fall in Y of two units: i.e. a negative or inverse
relationship between the variables

The correct answer is: There is a negative relationship between the two variables

Question 5
In the equation of a straight line, Y = mX + c , if m is equal to zero then when:  

Select one:
a. X increases Y decreases

b. X increases Y remains constant


c. X increases Y increases

The regression line is horizontal at the value c, showing that Y does not change whatever the
value of X

The correct answer is: X increases Y remains constant


Question 6
If R2 is calculated to be 0.98 how confident would you be in using the line of best fit for
prediction? 

Select one:
a. Not confident
b. The relationship is too weak to predict
c. The relationship is random and thus cannot be predicted
d. Very confident

98% of the total variation is ‘explained’ (or accounted for) by the regression line. In other words
the regression line is close to passing through all the points on the scatter diagram

The correct answer is: Very confident

Question 7
If the slope of the regression line is calculated to be 2.5 and the intercept 16 then the value of Y
when X is 4 is:  

Select one:
a. 16
b. 2.5
c. 66.5

d. 26

Y = 4(2.5) + 16 = 26

The correct answer is: 26

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