2) Which of the following is true of linear functions used in predictive analytical models? A) It is used when the rate of change in a variable decreases or increases quickly and then levels out. B) It is used when there is a steady rate of decrease or increase over a range of a variable. ANSWER C) It is used when there is only a decrease at a specific rate. D) It is used when there is a rise or fall at a constantly increasing rate. 3. In a linear relationship, which of the following accounts for the many possible values of the dependent variable that vary around the mean? A) the coefficient of the dependent variable X B) the value of the intercept 30 C) the random error term & D) the standard error SYX 4) Which of the following is true about the observed errors associated with estimating the value of the dependent variable using the regression line? A) They are the horizontal distances between slopes and y-intercepts. B) The errors are also referred to as critical values. C) They are always maximized by the regression lines. D) The errors can be negative or positive. 5) For an independent variable Y, the error associated with the ith observation is: A) ei = Yi - Yi B) Yi = (ei)2 - i ANSWER C) (vi)2 ei = Yi D) ei = (Yi + i)2 ANSWER ANSWER