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Basic Question 2 of 8
Which of the following is not an assumption underlying multiple linear regression?
B. The explanatory variables are controllable.
C. The underlying distribution of the error terms is standard normal.
A. Linear relationship implies linearity in the parameters.
B. The explanatory variables are controllable.
C. The underlying distribution of the error terms is standard normal.
User Contributed Comments 1
| User | Comment |
|---|---|
| mazen1967 | standard normal segma=1 av=0 |
Your review questions and global ranking system were so helpful.
Lina
Learning Outcome Statements
explain the assumptions underlying a multiple linear regression model and interpret residual plots indicating potential violations of these assumptions.
CFA® 2025 Level II Curriculum, Volume 1, Module 1.