Which of the following statements is least likely an example of a qualitative dependent variable? The: A) probability of bankruptcy is explained by several company-specific financial ratios. B) number of shares acquired through the exercise of executive stock options, explained by executive-specific and company-specific variables. C) likelihood of being acquired is explained by several company-specific financial ratios and economic variables. D) likelihood that a company will divest itself of a subsidiary, explained by subsidiary and competition variables.
B… i didn’t realize it was a negative question… i was going to say A, C or D, but then i realized it’s a WASN’T question… B says “# of shares as its first descriptor of dependent variable”
I’m debating between A and B, but I’m going for my first guess, B.
b - quantitative variable
Nice work. I got this right at the end of a long quant quiz and I just guessed. Qualitative… right, no quantitative stuff like number of shares. Duh. I am slowly feeling like I could do semi-ok on quant though. the anova table is my friend. dickey and fuller, durbin and watson, you are all my homeboys now. Your answer: A was incorrect. The correct answer was B) number of shares acquired through the exercise of executive stock options, explained by executive-specific and company-specific variables. The number of shares is a continuous variable and is, therefore, not considered a qualitative dependent variable.
BTW, i think likelihood and probability are synonyms. people agree??