1
Regression analysis is used to model the relationship between
Correct Answer
a dependent variable and one or more independent variables
β MCQ PRACTICE
Data Analytics Unit 3
Practice objective questions for quick revision and examination preparation. Try answering each question before revealing the answer.
Data Analytics - Unit-3
2
BLUE stands for
Correct Answer
Best Linear Unbiased Estimator
3
The GaussβMarkov theorem states that OLS estimators are BLUE when
Correct Answer
the classical regression assumptions hold
4
The method of least squares minimises
Correct Answer
the sum of squared residuals
5
A residual is
Correct Answer
the difference between the observed and the predicted value
6
R-squared measures
Correct Answer
the proportion of variance in the dependent variable explained by the model
7
Multicollinearity occurs when
Correct Answer
independent variables are highly correlated with each other
8
Which measure is commonly used to detect multicollinearity?
Correct Answer
Variance Inflation Factor (VIF)
9
Homoscedasticity means that the
Correct Answer
variance of the errors is constant
10
The DurbinβWatson test is used to check for
Correct Answer
autocorrelation in the residuals
11
The simple linear regression model is written as
Correct Answer
Y = Ξ²0 + Ξ²1X + Ξ΅
12
In simple linear regression, Ξ²1 represents
Correct Answer
the change in Y for a one-unit change in X
13
Adjusted R-squared differs from R-squared because it
Correct Answer
penalises the addition of irrelevant predictors
14
Variable rationalization is the process of
Correct Answer
selecting a meaningful subset of variables for the model
15
Which of the following is a stepwise variable selection method?
Correct Answer
Forward selection
16
Logistic regression is used when the dependent variable is
Correct Answer
binary or categorical
17
The logistic (sigmoid) function maps any real number to a value between
Correct Answer
0 and 1
18
The sigmoid function is given by
Correct Answer
1 / (1 + e^(βz))
19
The odds of an event with probability p are
Correct Answer
p / (1 β p)
20
The logit is
Correct Answer
the natural logarithm of the odds
21
Coefficients of a logistic regression model are estimated using
Correct Answer
maximum likelihood estimation
22
Which test is commonly used for goodness of fit in logistic regression?
Correct Answer
HosmerβLemeshow test
23
The ROC curve plots
Correct Answer
true positive rate against false positive rate
24
An AUC of 0.5 indicates that the model
Correct Answer
is no better than random guessing
25
Which of the following is a typical application of logistic regression in business?
Correct Answer
Credit scoring and customer churn prediction
Fill in the Blanks
26
BLUE stands for Best Linear __________ Estimator.
Correct Answer
Unbiased
27
The least squares method minimises the sum of __________ residuals.
Correct Answer
squared
28
__________ is the proportion of variance in the dependent variable explained by the regression model.
Correct Answer
R-squared
29
High correlation among the independent variables is called __________.
Correct Answer
multicollinearity
30
The __________ Inflation Factor (VIF) is used to detect multicollinearity.
Correct Answer
Variance
31
Constant variance of the error terms is called __________.
Correct Answer
homoscedasticity
32
The DurbinβWatson test checks the residuals for __________.
Correct Answer
autocorrelation
33
Logistic regression predicts a __________ outcome such as yes or no.
Correct Answer
binary
34
The logistic function is also called the __________ function.
Correct Answer
sigmoid
35
The odds of an event with probability p are p / __________.
Correct Answer
1 β p
36
The natural logarithm of the odds is called the __________.
Correct Answer
logit
37
Logistic regression coefficients are estimated by __________ likelihood estimation.
Correct Answer
maximum
38
The ROC curve plots the true positive rate against the __________ positive rate.
Correct Answer
false
39
An AUC of __________ indicates a model that is no better than random guessing.
Correct Answer
0.5
40
Forward selection and backward elimination are types of __________ regression.
Correct Answer
stepwise