If we run a regression where y (bankruptcy) = f (factors potentially predicting bankruptcy), what is the independent variable?
A) Factors potentially predicting bankruptcy
B) Bankruptcy
C) There are no dependent variables
D) Cannot be determined

Question

Quizplus · Accepted Answer

The independent variables in a regression model are the factors or predictors that are used to predict the outcome variable. In this case, the factors potentially predicting bankruptcy are the independent variables because they are used to predict the outcome (bankruptcy).

If We Run a Regression Where Y (Bankruptcy) = F