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In regression analysis, if predicted cost value is 65 and observed cost value is 19 then disturbance term will be

A. 46

B. 56

C. 36

D. 76

Answer: Option A

Solution(By Examveda Team)

In regression analysis, if predicted cost value is 65 and observed cost value is 19 then disturbance term will be 46.
Disturbance term cost = Predicted cost value - Observed cost value
= 65 - 19 = 46.

This Question Belongs to Commerce >> Costing

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