Chapter 3 Preview
When you have completed reading this chapter you will be able to:
• Know the difference between a dependent variable and an independent variable.
• Know what portion of a regression equation (model) represents the intercept (constant) and how to interpret that value.
• Know what part of the regression equation represents the slope and how to interpret that value.
• Know that for business applications the slope is the most important part of a regression equation.
• Know the ordinary least squares (OLS) criterion for the “best” regression line.
• Know four of the basic statistical assumptions underlying regression analysis.
• Know how to perform regression analysis ...