Chapter 4, Problem 47E

Assets again Here are the same data you saw in Exercise 45 after re-expressions as the square root of assets (in $M) and the logarithm of assets (in $M):

1. a) Which re-expression do you prefer? Why?
2. b) In the square root re-expression, what does the value 50 actually indicate about the company’s assets?
3. c) In the logarithm re-expression, what does the value 3 actually indicate about the company’s assets?