Why should I choose AnalystNotes?

Simply put: AnalystNotes offers the best value and the best product available to help you pass your exams.

Basic Question 0 of 10

Which of the following is not an assumption underlying linear regression?

A. Linear relationship implies linearity in the parameters.
B. The explanatory variable is controllable.
C. The underlying distribution of the error terms is standard normal.

User Contributed Comments 1

User Comment
mazen1967 standard normal
segma=1
av=0
You need to log in first to add your comment.
I passed! I did not get a chance to tell you before the exam - but your site was excellent. I will definitely take it next year for Level II.
Tamara Schultz

Tamara Schultz

Learning Outcome Statements

explain hypothesis testing and its components, including statistical significance, Type I and Type II errors, and the power of a test

CFA® 2025 Level I Curriculum, Volume 1, Module 8.