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Basic Question 4 of 4
Which statement is false?
A. An observation cannot be both an outlier and have high leverage.
B. A data point with high leverage can significantly impact the overall trend, even if its value is not particularly extreme.
C. The larger the value of Cook's distance, the greater the influence of the observation.
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Craig Baugh
Learning Outcome Statements
describe influence analysis and methods of detecting influential data points;
CFA® 2025 Level II Curriculum, Volume 1, Module 4.