For the regression equation Q = 100 – 10X + 0.25X2, which of the following statements is true?
A) X2 is the more important variable because it is positive.
B) When X decreases by one unit, Q decreases by 10 units.
C) When X increases by 10 units, Q decreases by 1 unit.
D) The change in Q associated with a one unit increase in X depends on the initial level of X.
ANSWER
D
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