Google+1. The Definition of EBITDA: It is an acronym for Earnings Before Interest Taxes Depreciation and Amortization. EBITDA is often used as a measure of a businessâs cash flow. Also it is used frequently in many business valuation formulas, depending on the businessâs specific industry.he Definition of EBITDA: It is an acronym for Earnings Before Interest Taxes Depreciation and Amortization.
However, a terminological difference arises in the expression mean squared error (MSE). The mean squared error of a regression is a number computed from the sum of squares of the computed residuals, and not of the unobservable errors. If that sum of squares is divided by n, the number of observations, the result is the mean of the squared residuals.
For the disk I/O-CPU time data of Example 14.1: ! The regression explains 97% of CPU time's variation. 14-20Washington University in St. Louis CSE567M Â©2008 Raj Jain Standard Deviation of Errors ! Since errors are obtained after calculating two regression parameters from the data, errors have n-2 degrees of freedom ! SSE/ (n-2) is called mean squared errors or (MSE). ! Standard deviation of errors = square root of MSE. ! SSY has n degrees of freedom since it is obtained from n independent observations without estimating any parameters.