Quantitative Analysis (QA): What It Is and How It's Used in Finance
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SOLVED:Consider a regression study involving a dependent variable y, a quantitative independent variable x1, and a categorical independent variable with three possible levels (level 1 , level 2, and level 3 ). a. How many dummy variables are required to represent the categorical variable? b. Write a multiple regression equation relating x1 and the categorical variable to y. c. Interpret the parameters in your regression equation.
SOLVED:Consider a regression study involving a dependent varia…
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