Courseiva
Data AnalysishardMultiple ChoiceObjective-mapped

DA0-002 Data Analysis Practice Question

A data scientist is building a model to predict customer churn (yes/no). After training a logistic regression model, the coefficient for 'monthly charges' is 0.05 with a p-value of 0.03. Which interpretation is correct at α=0.05?

Answer choices

Why each option matters

Answer the question above first, then reveal the full breakdown to understand why each option is right or wrong.

Correct answer & explanation

For every unit increase in monthly charges, the odds of churn increase by about 5%.

The p-value < 0.05 indicates a statistically significant relationship; the positive coefficient means higher charges increase the log-odds of churn.

Answer analysis

Option-by-option breakdown

For each option: why learners choose it and why it is or isn't the right answer here.

  • The model's R-squared is 0.05.

    Why it's wrong here

    R-squared is not typically used for logistic regression.

  • For every unit increase in monthly charges, the odds of churn increase by about 5%.

    Why this is correct

    The coefficient 0.05 in logistic regression represents log-odds; exp(0.05)≈1.05, a 5% increase in odds.

  • Monthly charges decrease the probability of churn.

    Why it's wrong here

    Positive coefficient indicates increase in log-odds, so probability increases.

  • Monthly charges have no significant effect on churn.

    Why it's wrong here

    The p-value is below 0.05, so the effect is significant.

About these practice questions

One of 986 original DA0-002 practice questions on Courseiva, each with a full explanation and wrong-answer analysis — not exam dumps or protected exam content. Learn why practice questions differ from exam dumps →

How Courseiva writes practice questions · Editorial policy

JA

Written by Johnson Ajibi, MSc IT Security

Senior Network & Security Engineer · founder of Courseiva

This DA0-002 practice question is part of Courseiva's free CompTIA certification practice question bank. Courseiva provides original exam-style practice questions with explanations, topic-based practice, mock exams, readiness tracking, and study analytics to help learners prepare for the DA0-002 exam.