In multicollinearity, the correlation coefficient between two independent variables must be greater than __________?

Related Mcqs:

1. An estimation of relationship between two or more independent variables and the dependent variables are classified as ____________?

   A. One variable series
   B. multiple regression
   C. simple regression
   D. Two way regression

2. The individual variable coefficient’s multicollinearity leads to ___________?

   A. decrease in variance
   B. increase in variance error
   C. increase in standard error
   D. decrease in standard error

3. An assumption, which states that there must be linear relationship between independent variable and dependent variable is __________?

   A. irrelevant range of linearity
   B. relevant range of linearity
   C. significant range
   D. insignificant range

4. The situation in which two or more independent variables are highly correlated is known as ___________?

   A. price linearity
   B. cost linearity
   C. division linearity
   D. multi-collinearity

5. The relationship between independent variable and dependent variable must be ___________?

   A. general ledger
   B. non-achievable
   C. non measureable
   D. economically plausible

6. For slope coefficient b, the value of the estimated coefficient is considered as ___________?

   A. d-value
   B. c-value
   C. t-value
   D. b-value

7. If the difference between costs linked to highest and lowest observation of cost driver is $36000 and observation of cost driver is 30 machine hours, then slope coefficient would be __________?

   A. $1,200
   B. $1,400
   C. $1,600
   D. $1,800

8. Considering the relationship of variables, the relationship in which the activity cost is included in the dependent variable, which has similar cost driver is classified as __________?

   A. heterogeneous relationship
   B. extreme relationship
   C. no homogeneous relationship
   D. homogeneous relationship

9. If the difference between costs linked to highest and lowest observation of cost driver is $27000 and observation of cost driver is 90 machine hours, then slope coefficient would be ____________?

   A. $800
   B. $400
   C. $300
   D. $600

10. If the difference between costs linked to highest and lowest observation of cost driver, is $8000 and observation of cost driver is 40 machine hours, then slope coefficient will be _____________?

    A. $16,000
    B. $200
    C. $400
    D. $20,000