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mr Goodwill [35]
3 years ago
7

A variable that likely is incorporated in the error term is A. the variable cost of production. B. the fixed cost of production.

C. the weather. D. the minimum wage. E. profit from popsicle sales.
Business
1 answer:
atroni [7]3 years ago
6 0

Answer:

A. The variable cost of production

Explanation:

An error term is a residual variable produced by a statistical or mathematical model, which is created when the model does not fully represent the actual relationship between the independent variables and the dependent variables. As a result of this incomplete relationship, the error term is the amount at which the equation may differ during empirical analysis.

The error term is also known as the residual, disturbance, or remainder term, and is variously represented in models by the letters e, ε, or u.

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