Correct. If a data point lies below the regression line, residual = y - \( \widehat{y} \) subtracts a smaller y value from a larger \( \widehat{y} \) value, giving a negative residual.
Incorrect. If a data point lies below the regression line, residual = y - \( \widehat{y} \) subtracts a smaller y value from a larger \( \widehat{y} \) value, giving a negative residual.
2
Try again.