Question #35
Reading: Reading 1 Multiple Regression
PDF File: Reading 1 Multiple Regression.pdf
Page: 15
Status: Unattempted
Correct Answer: A
Question
Which of the following statements least accurately describes one of the fundamental multiple regression assumptions?
Answer Choices:
A. The error term is normally distributed
B. The independent variables are not random
C. The variance of the error terms is not constant (i.e., the errors are heteroskedastic)
Explanation
The variance of the error term IS assumed to be constant, resulting in errors that are
homoskedastic.