5. Followings are multiple choice questions. Choose a correct answer. 1) A change In the unit of measurement ofthe dependent variable in a model does not lead to a change in: a. the standard error of the regression. b. the sum of squared residuals of the regression. c. the goodness-of-flt of the regression. d. the confidence intervals of the regression. 2) Which of the following correctly:l identifies an advantage ofusing adjusted R2 over R1? a. Adjusted R2 corrects the bias in R'. b. Adjusted R2 is easier to calculate than R2. c. The penalty of adding new independent variables is better understood through adjusted R1 than R'. d. The adjusted R2 can be calculated for models having logarithmic functions while R2 cannot be calculated for such models. 3} Which of the following correctlv Identles a limitation of logarithmic transformation of variables? a. Taking log of variables make 0L5 estimates more sensitive to extreme values in comparison to variables taken in level. b. Logarithmic transformations cannot be used if a variable takes on zero or negative values. c. Logarithmic transformations of variables are likely to lead to heteroskedastlcltv. d. Taking log of a variable often expands its range which can cause Inefficient estimates