i. A variable whose possible outcomes are coded as a "1" or a "0" is called a dummy variable.
ii. A dummy variable is added to the regression equation to control for error.
Iii) If the null hypothesis ?4 = 0 is not rejected, then the independent variable X4 has no effect in predicting the dependent variable.
A) (i), (ii) and (iii) are all correct statements
B) (i) and (ii) are correct statements, but not (iii).
C) (i) and (iii) are correct statements but not (ii).
D) (ii) and (iii) are correct statements but not (i).
E) All statements are false

Question

i. A variable whose possible outcomes are coded as a "1" or a "0" is called a dummy variable. 
ii. A dummy variable is added to the regression equation to control for error.
Iii) If the null hypothesis ?4 = 0 is not rejected, then the independent variable X4 has no effect in predicting the dependent variable.
A) (i), (ii) and (iii) are all correct statements
B) (i) and (ii) are correct statements, but not (iii).
C) (i) and (iii) are correct statements but not (ii).
D) (ii) and (iii) are correct statements but not (i).
E) All statements are false

Quizplus · Accepted Answer

A dummy variable is indeed coded as "1" or "0" (i), and if the null hypothesis for a coefficient is not rejected, it suggests that the variable does not significantly predict the dependent variable (iii). However, dummy variables are not specifically added to control for error (ii).

I a Variable Whose Possible Outcomes Are Coded as a "1