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(TCO 1) Three criteria to use in identifying cost drivers from the potentially large set of independent variables that can be included in a regression

(TCO 1) Three criteria to use in identifying cost drivers from the potentially large set of independent variables that can be included in a regression model are

goodness of fit, size of the intercept term, and specification analysis.

independence between independent variables, economic plausibility, and specification analysis.

economic plausibility, goodness of fit, and significance of independent variable.

spurious correlation, expense of gathering data, and multicollinearity.

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