Answer:
A, B, C, D
Step-by-step explanation:
(A) Checking the Equal Variance Assumption, the appropriate technique to use is:
- The ANOVA (Analysis of Variance) F test
- Plot residuals against fitted values
(B) Checking the Normal Assumption, the appropriate techniques to use are:
- Test for Kurtosis & Skewness
- Kolmogorov-Smirnov Test
- Q-Q Plots (the graphical method) also known as Quantile Plot
- Do not use a histogram; it is not advisable
(C) Checking for Model Misspecification, the appropriate techniques to use are:
- The Ramsey Regression Specification Error Test; also called RESET
- The Davidson & MacKinnon J. Test
(D) Checking for dependent errors, the appropriate technique to use is:
- Plot residuals against time variables
9514 1404 393
Answer:
$7641.24
Step-by-step explanation:
The amortization formula tells the payment amount.
A = P(r/n)/(1 -(1 +r/n)^(-nt))
where principal P is paid off in t years with n payments per year at interest rat r.
Using the given values, we find ...
A = $7000(0.165/12)/(1 -(1 +0.165/12)^-12) = $7000×0.01375/(1 -1.01375^-12)
A = $636.77
The total of 12 such payments is ...
$636.77 × 12 = $7641.24
You will pay a total of about $7641.24.
_____
<em>Additional comment</em>
Since the payment amount is rounded down, the actual payoff will be slightly more. Usually, the lender will round interest and principal to the nearest cent on each monthly statement. The final payment will likely be a few cents more than the monthly payment shown here.
Square (added characters)
Answer:
1
Step-by-step explanation:
