Answer:
C. 1. Linearity of relationship between the dependent variable and the independent variable within the relevant range. 2. Constant variance of residuals for all values of the independent variable. 3. Independence of residuals. 4. Normal distribution of residuals.
Explanation:
The four keys assumptions that are examined in the case of simple regression with respect to the specification analysis is given below:
1. There should be relationship between the dependent and independent variable and that should be linear and do not cross the relevant range
2, The residual variances of the independent variable would remain the same
3. Residual independence
4. Residual normal distribution
These four should be considered
Hence, the option c is correct
Answer:
Deductible expenses: 500 (hobby expense after revenue limit - 2% AGI floor)
.
Explanation:
AGI Before activity: $97,500
Hobby Rev. : $2,500
AGI after activity: 100,000
Hobby expense: 10,550
Hobby expense after revenue limit: 2,500 (lessor of hobby rev. and hobby expense)
2% AGI Floor: 2,000
Deductible expenses: 500 (hobby expense after revenue limit - 2% AGI floor)
$500 is the answer.
1. a balance sheet includes all except depreciation.
2. business do have to report their financial statements to the irs so this is true.
3. the loss that a company experiences when a service goes unused is a liability.
hope this helps ☺
