A healthcare executive is using regression to predict total revenues. She is deciding whether or not to include both patient length of stay and insurance type in her model. Her first regression model only included patient length of stay
The resulting r2 was .83, with an adjusted r2 of .82 and her level of significance was .003. In the second model, she included both patient length of stay and insurance type. The r2 was .84 and the adjusted r2 was .80 for the second model and the level of significance did not change. Which of the following statements is true?
A) The second model is a better model.
B) The first model is a better model.
C) The r2 increased when additional variables were added because these variables significantly contribute to the prediction of total revenues.
D) The adjusted r2 always increases when additional variables are added to the model.
E) None of the above statements are true.
B
You might also like to view...
On January 1, 2018, Waddle Company adopted a compensatory stock option plan and granted its managers 10,000 options to buy shares of common stock; each option can be used to acquire a share of common stock at a price of $25 a share. The fair value of each option was $7.50 on January 1, 2018. The options can be converted into common stock after July 1, 2018. The required service period is three years. What is the balance in paid-in capital-stock options as of December 31, 2019 assuming that the fair value approach to accounting for stock options is used?
A. $100,000 B. $25,000 C. $50,000 D. $0
Amanda has just determined that her employees will require extensive training if they are to acquire the necessary technological expertise to produce a new product line. She has discovered one of her firm's
A. strengths. B. weaknesses. C. opportunities. D. threats. E. market challenges.
Which of the following statements about an offer is true?
A. The death of an offeror will terminate the offer. B. An offer is effective upon dispatch. C. A grumbling acceptance is a rejection and terminates the offer. D. Any definite offer made by a merchant is called a "firm offer."
Using the set of symbols commonly used in marketing research to denote experimental designs, which symbol below represents the random assignment of test units or groups to separate treatments?
A) T B) O C) R D) X