1. Use "Auto" data from "ISLR" package. Simple linear regression between 'mpg' as dependent variable and 'horsepower' as independent variable shows no pattern in the residual versus fitted values plot.

True

False

2. Use "Auto" data from "ISLR" package. Simple linear regression between 'mpg' as dependent variable and 'horsepower' as independent variable provides estimate for slope as

		zero
		negative value
		positive value
		one

3. If the coefficient of correlation is 0.8, the percentage of variation in the dependent variable explained by the variation in the independent variable is

		0.64%
		80%
		0.80%
		64%

4. In regression analysis, the independent variable is

		used to predict other independent variables
		used to predict the dependent variable
		the variable that is being predicted
		also called a response variable

5. In a regression and correlation analysis if R-square = 1, then

		SSR = SSE
		SSE = 1
		SSR = SST
		MSE = MSR

6. In ANOVA table based on simple linear regression without intercept, degrees of freedom for error is higher than the degrees of freedom for total.

True

False

7. In regression analysis if the dependent variable is measured in dollars, the independent variable

		can be any units
		must be in some units of currency
		must also be in dollars
		cannot be in dollars

8. A regression analysis between demand (Y in 1000 units) and price (X in dollars) resulted in the following equation: Y = 9 - 3X.

This equation implies that if the price is increased by $1, the demand is expected to

		decrease by 3 units
		decrease by 6,000 units
		increase by 3,000 units
		decrease by 3,000 units

9. In a regression analysis if SST = 500 and SSE = 300, then the coefficient of determination is

		0.20
		1.67
		0.60
		0.40

10. Use "Auto" data from "ISLR" package. Simple linear regression between 'mpg' as dependent variable and 'horsepower' as independent variable indicates when horsepower is zero on an average, mpg will be about

		599.7
		55.66
		-0.15
		39.94