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Indicate which of the following answers to the statement below represents the best choice, then support your view. A firm regressed overhead on unit produced
Indicate which of the following answers to the statement below represents the best choice, then support your view.
A firm regressed overhead on unit produced over the past year and found a coefficient of determination (i.e. r-squared) equal to 0.85 with a U-shaped residual error pattern. It is reasonable to conclude that the relationship between overhead and units produced is
A. Weak B. Causal C. Nonliner D. Linear
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